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{{Short description|Approach to the effective management of people in a company}} {{Business administration}} '''Human resource management''' ('''HRM''') is the strategic and coherent approach to the effective and efficient management of people in a company or organization such that they help their business gain a [[competitive advantage]]. It is designed to maximize [[employee performance management|employee performance]] in service of an employer's strategic objectives.<ref>Johnson, P. (2009). HRM in changing organizational contexts. In D. G.Collings & G. Wood (Eds.), Human resource management: A critical approach (pp. 19-37). London: Routledge.</ref>{{request quotation|date=June 2017}} Human resource management is primarily concerned with the management of people within organizations, focusing on [[policy|policies]] and [[system]]s.<ref>Collings, D. G., & Wood, G. (2009). Human resource management: A critical approach. In D. G. Colligs & G. Wood (Eds.), Human resource management: A critical approach (pp. 1-16). London: Routledge.</ref> HR departments are responsible for overseeing [[employee benefits|employee-benefits]] design, employee [[recruitment]], [[training and development]], [[performance appraisal]], and [[reward management]], such as managing [[Wage|pay]] and employee benefits systems.<ref>Paauwe, J., & Boon, C. (2009). Strategic HRM: A critical review. In D. G. Collings, G. Wood (Eds.) & M.A. Reid, Human resource management: A critical approach (pp. 38-54). London: Routledge.</ref> HR also concerns itself with [[organizational change]] and [[industrial relations]], or the balancing of organizational practices with requirements arising from [[collective bargaining]] and governmental [[law]]s.<ref>{{cite web | url=https://courses.lumenlearning.com/wm-introductiontobusiness/chapter/human-resource-management/ | title=Human Resource Management | Introduction to Business }}</ref> The overall purpose of [[human resources]] (HR) is to ensure that the organization can achieve success through people.<ref>{{Cite book|title=Armstrong's handbook of human resource management practice|author=Armstrong, Michael|date=2009|publisher=Kogan Page|others=Armstrong, Michael, 1928-|isbn=9780749457389|edition= Eleventh |location=London|oclc=435643771}}</ref> HR professionals manage the [[human capital]] of an organization and focus on implementing policies and processes. They can specialize in finding, recruiting, selecting, training, and developing employees, as well as maintaining employee relations or benefits. Training and development professionals ensure that employees are trained and have continuous development. This is done through training programs, performance evaluations, and reward programs. Employee relations deals with the concerns of employees when policies are broken, such as in cases involving harassment or discrimination. Managing employee benefits includes developing compensation structures, [[parental leave]] programs, discounts, and other benefits. On the other side of the field are HR generalists or [[business partner]]s. These HR professionals could work in all areas or be [[Industrial relations|labour relations]] representatives working with [[labor union|unionized]] employees. HR is a product of the [[human relations movement]] of the early 20th century when researchers began documenting ways of creating [[business value]] through the [[strategic management]] of the workforce.<ref>{{Cite journal|last=Obedgiu|first=Vincent|date=2017-01-01|title=Human resource management, historical perspectives, evolution and professional development|url=https://doi.org/10.1108/JMD-12-2016-0267|journal=Journal of Management Development|volume=36|issue=8|pages=986–990|doi=10.1108/JMD-12-2016-0267|issn=0262-1711}}</ref> It was initially dominated by transactional work, such as [[payroll]] and [[employee benefits|benefits]] administration, but due to [[globalization]], company consolidation, technological advances, and further research, HR {{as of|2015|lc=on}} focuses on strategic initiatives like [[mergers and acquisitions]], [[talent management]], [[succession planning]], [[industrial relations|industrial]] and [[labor relations]], and [[multiculturalism|diversity]] and [[Inclusion (value and practice)|inclusion]]. In the {{as of|2015|alt= current}} global work environment, most companies focus on lowering [[employee turnover]] and on [[Employee retention|retaining]] the talent and knowledge held by their workforce.<ref>{{Cite web |title=Employee retention: 10 strategies for retaining top talent |url=https://www.cio.com/article/251060/employee-retention-10-strategies-for-retaining-top-talent.html |access-date=2024-05-29 |website=CIO |language=en}}</ref> == History == ===Precedent theoretical developments=== The human resources field began to take shape in 19th century Europe. It is built on a simple idea by [[Robert Owen]] (1771–1858) and [[Charles Babbage]] (1791–1871) during the [[Industrial Revolution]]. These men concluded that people were crucial to the success of an [[organization]]. They expressed the thought that well-being of employees led to perfect work; without healthy workers, the organization would not survive.<ref>{{cite book |last= Griffin |first= Ricky |title= Principles of Management}}</ref>{{request quotation|date=October 2017}} HR emerged as a specific field in the early 20th century, influenced by [[Frederick Winslow Taylor]] (1856–1915). Taylor explored what he termed "[[scientific management]]" (sometimes referred to as "Taylorism"), striving to improve economic efficiency in manufacturing jobs. He eventually focused on one of the principal inputs into the manufacturing process—labor—sparking inquiry into workforce productivity.<ref>{{cite book |last = Merkle |first = Judith A. |title = Management and Ideology |url = https://archive.org/details/managementideolo0000merk |url-access = registration |page = [https://archive.org/details/managementideolo0000merk/page/1 1] |publisher = University of California Press |isbn = 978-0-520-03737-3|date = 1980-01-01 }} </ref> Meanwhile, in London C S Myers inspired by unexpected problems among soldiers who alarmed generals and politicians. During First World War 1914–1918, co-founded the National Institute of Industrial Psychology (NIIP) in 1921.<ref>Mark O'Sullivan, 2014, ''What Works at Work'', The Starbank Press, Bath, page 3.</ref> He set seeds for the [[human relations movement]], this movement, on both sides of the Atlantic, built on the research of [[Elton Mayo]] (1880–1949) and others to document through the [[Hawthorne studies]] (1924–1932) and other studies how stimuli, unrelated to financial compensation and working conditions, could yield more productive workers.<ref>{{cite web |url= http://xa.yimg.com/kq/groups/30802428/1886432542/name/elton+mayo+%2B+studiu+de+caz.pdf |title= Hawthorne and the Western Electric Company |last= Mayo |first= Elton |year= 1945 |publisher= Harvard Business School |access-date= 28 December 2011 |archive-date= 6 January 2012 |archive-url= https://web.archive.org/web/20120106052538/http://xa.yimg.com/kq/groups/30802428/1886432542/name/elton+mayo+++studiu+de+caz.pdf |url-status= dead }}</ref> Work by [[Abraham Maslow]] (1908–1970), [[Kurt Lewin]] (1890–1947), [[Max Weber]] (1864–1920), [[Frederick Herzberg]] (1923–2000), and [[David McClelland]] (1917–1998), forming the basis for studies in [[industrial and organizational psychology]], [[organizational behavior]] and [[organizational theory]], was interpreted{{by whom|date=October 2017}} in such a way as to further claims{{when|date=October 2017}} of legitimacy for an applied discipline. ===Birth and development of the discipline=== By the time there was enough theoretical evidence to make a [[business case]] for strategic workforce management, changes in the [[commerce|business landscape]]—à la [[Andrew Carnegie]] (1835–1919) and [[John D. Rockefeller|John Rockefeller]] (1839–1937)—and in public policy—à la [[Sidney Webb|Sidney]] (1859–1947) and [[Beatrice Webb]] (1858–1943), [[Franklin D. Roosevelt]] and the [[New Deal]] of 1933 to 1939—had transformed employer-employee relationships, and the HRM discipline became formalized as "[[industrial relations|industrial]] and [[labor relations]]". In 1913 one of the oldest known [[list of human resource management associations|professional HR associations]]—the [[Chartered Institute of Personnel and Development]] (CIPD)—started in England as the Welfare Workers' Association; it changed its name a decade later to the Institute of Industrial Welfare Workers, and again the next decade to Institute of Labour Management before settling upon its current name in 2000.<ref>{{cite web | url= http://www.cipd.co.uk/hr-resources/factsheets/history-hr-cipd.aspx | publisher= Chartered Institute of Personnel and Development | access-date= 2016-07-19 | title= History of HR and the CIPD | archive-date= 2016-07-15 | archive-url= https://web.archive.org/web/20160715093051/http://www.cipd.co.uk/hr-resources/factsheets/history-hr-cipd.aspx | url-status= dead }}</ref> From 1918 the early [[Soviet]] state institutions began to implement a distinct [[ideology|ideological]] HRM focus<ref> {{cite book | last1 = Itani | first1 = Sami | title = The Ideological Evolution of Human Resource Management: A Critical Look into HRM Research and Practices | url = https://books.google.com/books?id=tE80DwAAQBAJ | series = Critical Management Studies Book Set (2016-2019) | date = 22 September 2017 | location = Bingley, Yorkshire | publisher = Emerald Group Publishing | publication-date = 2017 | isbn = 9781787433908 | access-date = 3 April 2021 }} </ref> alongside technical management—first in the [[Red Army]] (through [[political commissar]]s alongside military officers), later (from 1933) in work sites more generally (through [[partorg]] posts alongside conventional managers).<ref> {{cite book | last1 = Ardichvili | first1 = Alexandre | last2 = Zavyalova | first2 = Elena K. | chapter = HRD in the Former Soviet Union (1917-1990) | title = Human Resource Development in the Russian Federation | url = https://books.google.com/books?id=IPQjCQAAQBAJ | series = Routledge Studies in Human Resource Development | date = 8 May 2015 | location = New York | publisher = Routledge | publication-date = 2015 | page = 43 | isbn = 9781317815846 | access-date = 3 April 2021 | quote = [...] features of personnel management that were typical for the socialist Soviet Union [...]: Ideologization of all definitions, regulations, concepts, and explanations; linking the fundamental principles of personnel management with the classical works of the Marxist-Leninist theory as well as the obligatory references to the Communist Party documents of various levels [...]; and administrative and even criminal liability for non-working, enshrined as a separate item in the constitution of the USSR. }} </ref> In 1920, James R. Angell delivered an address to a conference on personnel research in Washington detailing the need for personnel research. This preceded and led to the organization of the Personnel Research Federation. In 1922 the first volume of ''The Journal of Personnel Research'' was published, a joint initiative between the National Research Council and the Engineering Foundation.<ref>{{Cite web |url=https://www.workforce.com/files/Reasons-and-Plans-for-Personnel-Research-James-R-Angell.pdf |title=Archived copy |access-date=2020-10-05 |archive-date=2021-01-19 |archive-url=https://web.archive.org/web/20210119145405/https://www.workforce.com/files/Reasons-and-Plans-for-Personnel-Research-James-R-Angell.pdf |url-status=dead }}</ref> Likewise in the United States, the world's first institution of higher education dedicated to workplace studies—the [[Cornell University School of Industrial and Labor Relations|School of Industrial and Labor Relations]]—formed at [[Cornell University]] in 1945.<ref name="ILR">{{cite web | title = About Cornell ILR | url= http://www.ilr.cornell.edu/about/ | publisher = [[Cornell University School of Industrial and Labor Relations]] | access-date = 2010-01-29}}</ref> In 1948 what would later become the largest professional HR association—the [[Society for Human Resource Management]] (SHRM)—formed as the American Society for Personnel Administration (ASPA).<ref name="SHRM">{{cite web|url= http://www.shrm.org/about/ |publisher= Society for Human Resource Management |access-date= 22 December 2011 |title= About SHRM |url-status= dead |archive-url= https://web.archive.org/web/20090116112745/http://shrm.org/about/ |archive-date= 16 January 2009 }}</ref> In the Soviet Union, [[Joseph Stalin|Stalin]]'s use of patronage exercised through the "HR Department" equivalent in the [[Communist Party of the Soviet Union|Bolshevik Party]], its [[Orgburo]], demonstrated the effectiveness and influence of human-resource policies and practices,<ref> {{cite book | last1 = Hale | first1 = Henry E. | title = Patronal Politics | url = https://books.google.com/books?id=1MC0BAAAQBAJ | series = Problems of International Politics | publisher = Cambridge University Press | date = 2014 | page = 49 | isbn = 9781107073517 | access-date = 2015-08-24 | quote = Not seen as having the right stuff for high-profile posts such as the one held by Trotsky, Stalin thus occupied a series of relatively low-level positions in the Communist leadership after the revolution. One of these, which he acquired in 1919, was the de facto head of the Communist Party's Organizational Bureau (Orgburo), seen then as a technical body in much the same way a human resources department is seen in a modern institution. [...] Stalin's genius was to recognize that [...] this was precisely the position to occupy. Using his position to influence who was appointed to lower-level party posts, each relatively unimportant in its own right, Stalin systematically advanced people he believed would support him in the future, thereby constructing a large network of political clients within the party and the state which it dominated. [...] This patronalistic mechanism constituted what Robert V. Daniels later called the great 'circular flow of power' that essentially decided Communist Party leadership disputes and solved succession crises from Stalin straight through to Gorbachev. The power to influence lower-level appointments was concentrated, though still largely seen as a technical matter, with the creation of the post of general secretary in 1922, a post-Stalin was in a perfect position to occupy, and he did. }} </ref><ref> {{cite book | last1 = Pipko | first1 = Simona | title = Baltic Winds: Testimony of a Soviet Attorney | url = https://books.google.com/books?id=_6LnhLxIUlsC | publisher = Xlibris Corporation | date = 2002 | page = 451 | isbn = 9781401070960 | access-date = 2015-08-24 | quote = The Secretariat personified the Stalinist system. [...] It runs the day-to-day affairs of the State as well as the Party. Can you imagine that huge body of bureaucratic anachronism, which was also responsible for the selection and promotion of 'cadres'? The model invented by Stalin to consolidate his power existed up to contemporary time. [...] Stalin had both the time and the ability to shape human resources to his own ends, teaching secrecy, brutality and duplicity. }} </ref> and Stalin himself acknowledged the importance of the human resource,<ref> Quoted in: {{cite book | last1 = Stalin | first1 = Joseph | author-link1 = Joseph Stalin | year = 1936 | title = Против фашистского мракобесия и демагогии |trans-title=Against Fascist Obscurantism and Demagoguery | url = https://books.google.com/books?id=evMfBwAAQBAJ | publisher = Directmedia | publication-date = 2013 | page = 81 | isbn = 9785446087181 | access-date = 2015-08-24 | quote = Надо, наконец, понять, что из всех ценных капиталов, имеющихся в мире, самым ценным и самым решающим капиталом являются люди, кадры. [Finally, one must understand that of all the valuable forms of capital existing in the world, the most precious and the most decisive capital is people, cadres.] }} </ref> exemplified in his mass deployment of it, as in the [[Five-year plans of the Soviet Union|five-year plans]] and in the [[Gulag]] system. During the latter half of the 20th century,{{where|date=April 2021}} [[labor union|union]] membership declined significantly,<ref> Compare: {{cite book | last1 = Belous | first1 = Richard S. | title = Union Membership Trends: The Implications for Economic Policy and Labor Legislation | year = 1986 | url = https://books.google.com/books?id=2RFYAAAAYAAJ | issue = Issues 86-107 of Report (Library of Congress. Congressional Research Service) | publisher = Congressional Research Service, Library of Congress | publication-date = 1986 | page = 27 | access-date = 3 April 2021 | quote = Given the 'continued union membership decline' case vs. the 'rebound in union membership' case, which one is currently the 'general wisdom' within the community of labor-management analysts? }} </ref> while workforce-management specialists continued to expand their influence within organizations.{{citation needed|date=July 2016}} In US, the phrase "industrial and labor relations" came into use to refer specifically to issues concerning [[Collective bargaining|collective representation]], and many{{quantify|date= July 2016}} companies began referring to the proto-HR profession as "personnel administration".{{citation needed|date=July 2015}}<ref> Compare [https://books.google.com/ngrams/graph?content=human+resource+management%2Cpersonnel+management%2Cindustrial+and+labor+relations%2Cpersonnel+administration&year_start=1900&year_end=2019&corpus=28&smoothing=3 Graphed frequencies of HR jargon in American English]. </ref> Many current HR practices originated with the needs of companies in the 1950s to develop and [[Employee retention|retain]] talent.<ref> {{Cite journal | last = Cappelli | first = Peter | title = Why We Love to Hate HR ... and What HR Can Do About It | url = https://hbr.org/2015/07/why-we-love-to-hate-hr-and-what-hr-can-do-about-it | journal = [[Harvard Business Review]] | issue = July–August 2015 | access-date = 25 July 2015 | date = July 2015 | quote = [...] after World War II, U.S. industry suffered a talent shortage unlike anything since. [...] In that [...] void, modern HR was born, ushering in practices such as coaching, developmental assignments, job rotation, 360-degree feedback, assessment centers, high-potential tracks, and succession plans. They sound routine now, but they were revolutionary then. And they arose from an urgent need to develop and retain talent in the 1950s. }} </ref> In the late 20th century, advances in transportation and communications greatly facilitated workforce mobility and [[collaboration]]. Corporations began viewing employees as assets. "Human resources management" consequently,{{citation needed|date= July 2016}} became the dominant term for the function—the ASPA even changing its name to the Society for Human Resource Management (SHRM) in 1998.<ref name="SHRM"/> "[[Human capital]] management" (HCM) is sometimes used synonymously with "HR", although "human capital" typically refers to a narrower view of human resources; i.e. the knowledge the individuals embody and can contribute to an organization.<ref> {{cite book | last1 = Armstrong | first1 = Michael | chapter = Human capital management | title = A Handbook of Human Resource Management Practice | chapter-url = https://books.google.com/books?id=D78K7QIdR3UC | series = Gale virtual reference library | publisher = Kogan Page Publishers | date = 2006 | page = 29 | isbn = 9780749446314 | access-date = 2016-07-19 | quote = Human capital management (HCM) has been described as 'a paradigm shift' from the traditional approach to human resource management (Kearns, 2005b) [...]. }} </ref> Other terms sometimes used to describe the HRM field include "organizational management", "manpower management", "talent management", "'''personnel management'''", "workforce management", and simply "people management". ===In popular media=== Several popular media productions have depicted human resource management in operation. The U.S. television series ''[[The Office (American TV series)|The Office]]'', HR representative [[Toby Flenderson]] is sometimes portrayed as a nag because he constantly reminds coworkers of company policies and government regulations.<ref> {{cite web |url= http://www.hrexecutive.com/HRE/story.jsp?storyId=266686219 |title= HR's Take on The Office |last= O'Brien |first= Michael |date=October 8, 2009 |publisher= Human Resource Executive Online |access-date= 28 December 2011 }} {{dead link|date=October 2018}}</ref> Long-running American comic strip ''[[Dilbert]]'' frequently portrays sadistic [[human resource policies|HR policies]] through the character [[Catbert]], the "evil director of human resources".<ref> {{cite web |url= http://www.personneltoday.com/blogs/human-resources-guru/2007/08/catbert-shows-tougher-side-to-human-resources.html |title= Catbert shows tougher side to human resources |date= August 30, 2007 |publisher= Personnel Today |access-date= 28 December 2011 |archive-url= https://web.archive.org/web/20091217143659/http://www.personneltoday.com/blogs/human-resources-guru/2007/08/catbert-shows-tougher-side-to-human-resources.html |archive-date= 17 December 2009 |url-status= dead |df= dmy-all }} </ref> An HR manager is the title character in the 2010 Israeli film ''[[The Human Resources Manager]]'', while an HR intern is the protagonist in 1999 French film ''[[Human Resources (film)|Ressources humaines]]''. The main character in the BBC sitcom ''[[Dinnerladies (TV series)|dinnerladies]]'', Philippa, is an HR manager. The protagonist of the Mexican [[telenovela]] ''[[Mañana es para siempre]]'' is a director of human resources. ''[[Up in the Air (2009 film)|Up In the Air]]'' is centered on corporate "downsizer" Ryan Bingham (George Clooney) and his travels. As the film progresses, HR is portrayed as a data-driven function that deals with people as [[human resource metrics]], which can lead to absurd outcomes for real people. == Practice == === Business function === [[Dave Ulrich]] lists the function of [[human resources]] as:<ref>{{cite book |last= Ulrich |first= Dave |year= 1996 |title= Human Resource Champions. The next agenda for adding value and delivering results |publisher= Harvard Business School Press |location= Boston, Mass. |isbn= 978-0-87584-719-1 |oclc= 34704904 |url= https://archive.org/details/humanresourcecha00ulri }}</ref> * Aligning human resource strategy and [[human resource metrics]] with business strategy * Re-engineering organization processes * Listening and responding to employees, and managing transformation and change. At the macro level, HR is in charge of overseeing organizational [[leadership]] and [[organizational culture|culture]]. HR also ensures compliance with [[Labour law|employment and labor laws]] and often oversees employee health, safety, and security. Labor laws may vary from one jurisdiction to the next. In a workplace administered by the federal government, HR managers may need to be familiar with certain crucial federal laws, in order to protect both their company and its employees. In the United States of America, important federal laws and regulations include: # [[Fair Labor Standards Act of 1938]]: It establishes a minimum wage and protects the right of certain workers to earn overtime. # [[Equal Employment Opportunity Act of 1972]]: It strengthens the [[Equal Employment Opportunity Commission]]'s authority to prevent and address workplace [[discrimination]] and prohibits employers from making hiring, firing, or employment decisions based on race, color, religion, sex, national origin, or age. # [[Family and Medical Leave Act of 1993]]: It allows eligible employees to take up to twelve weeks of unpaid leave for family and medical reasons while ensuring they can return to their job afterward. # [[Immigration Reform and Control Act of 1986|Immigration Reform and Control Act]]: It requires employers to verify the identity and employment eligibility of all employees, prohibits the hiring of unauthorized workers, and establishes penalties for employers who hire undocumented immigrants while protecting employees from discrimination based on nationality or citizenship. An important responsibility of HR is to ensure that a company complies with all laws and regulations, thus protecting the company from legal liability.<ref>{{cite web |last1=Davis |first1=Robert |last2=Carnovalis |first2=Michael |title=The HR Function's Compliance Role |url=https://www.corporatecomplianceinsights.com/hr-function-compliance-role/ |website=Corporate Compliance Insights|date=2018-05-13 }}</ref> In circumstances where employees exercise their legal authorization to negotiate a [[collective agreement|collective bargaining agreement]], HR will typically also serve as the company's primary liaison with employee representatives (usually a [[Trade union|labor union]]). Consequently, the HR industry [[lobbying|lobbies]] governmental agencies (e.g., in the United States, the [[United States Department of Labor]] and the [[National Labor Relations Board]]) to advance its priorities. ===Functions of Human resource management=== # '''Staffing:''' The process of the recruitment and selection of employees through the use of interviews, applications and networking. Staffing involves two main factors. The first is to attract talented recruits who meet the organization's requirements, and doing so by using tools such as mass media; the second is to manage hiring resources. Managers can use hiring resources to exercise different strategies. # '''Training and Development:'''It involves a continuous process of training and developing competent and adapted employees. Here, motivation is seen as key to keeping employees highly productive. This includes employee benefits, performance appraisals, and rewards. Employee benefits, appraisals, and rewards are all encouragements to bring forward the best employees. # '''Maintenance:''' involves keeping the employees' commitment and loyalty to the organization. Managing for employee retention involves strategic actions to keep employees motivated and focused so they remain employed and fully productive for the benefit of the organization.<ref>{{Cite web|date=2019-02-26|title=Managing for Employee Retention|url=https://www.shrm.org/resourcesandtools/tools-and-samples/toolkits/pages/managingforemployeeretention.aspx|access-date=2020-10-12|website=SHRM|language=en-US|archive-date=2021-08-16|archive-url=https://web.archive.org/web/20210816182432/https://www.shrm.org/resourcesandtools/tools-and-samples/toolkits/pages/managingforemployeeretention.aspx|url-status=dead}}</ref> Some businesses [[globalization|globalize]] and form more diverse teams. HR departments have the role of making sure that these teams can function and that people can communicate across cultures and across borders. The discipline may also engage in mobility management, especially for [[expatriate]]s; and it is frequently involved in the [[merger and acquisition]] process. HR is generally viewed as a support function to the business, helping to minimize costs and reduce risk.<ref>{{cite web |first=David |last=Towers |url=http://www.towers.fr/essays/hrm.html |title=Human Resource Management essays |access-date=2007-10-17 |archive-date=2010-06-20 |archive-url=https://web.archive.org/web/20100620031940/http://www.towers.fr/essays/hrm.html |url-status=dead }}</ref> '''Other Activities''': * '''Talent Acquisition:''' focuses on the long-term strategic planning required to identify, attract, and hire the top talent necessary to meet the organization's needs. * '''Talent Recruitment:''' involves identifying, attracting, and hiring suitable candidates to fulfill specific job openings and meet business needs.<ref>{{Cite book |last=Storey |first=John |url=https://www.taylorfrancis.com/books/edit/10.4324/9781315740560/new-perspectives-human-resource-management-routledge-revivals-john-storey |title=New Perspectives on Human Resource Management (Routledge Revivals) |year=2014 |doi=10.4324/9781315740560|isbn=9781315740560 }}</ref> * '''Talent Management:''' helps organizations identify key positions vital for long-term success, develop a pool of high-potential employees to fill these roles, and establish a framework for managing performance, developing leaders, retaining talent, and fostering organizational commitment.<ref>{{Cite journal |last1=Collings |first1=David G. |last2=Mellahi |first2=Kamel |year=2009 |title=Strategic talent management: A review and research agenda |url=https://linkinghub.elsevier.com/retrieve/pii/S1053482209000461 |journal=Human Resource Management Review |language=en |volume=19 |issue=4 |pages=304–313 |doi=10.1016/j.hrmr.2009.04.001|hdl=10379/683 |hdl-access=free }}</ref> * '''Compensation and Benefits:''' design competitive compensation and benefits packages to attract and retain talent. * '''Employee Relations:''' manage employee relations issues, such as conflict resolution, employee grievances, and workplace investigations. * '''Training and Development:''' develop and implement training programs and professional development opportunities for their employees.<ref>{{Cite journal |last1=Ulrich |first1=Dave |last2=Younger |first2=Jon |last3=Brockbank |first3=Wayne |date=September 2008 |title=The twenty-first-century HR organization |url=https://onlinelibrary.wiley.com/doi/10.1002/hrm.20247 |journal=Human Resource Management |language=en |volume=47 |issue=4 |pages=829–850 |doi=10.1002/hrm.20247|hdl=2027.42/61309 |hdl-access=free }}</ref> * '''Performance Management:''' a systematic process focused on enhancing organizational effectiveness by designing [[human resource metrics]] and implementing performance management systems. This approach provides employees with clear feedback on their performance outcomes and areas for improvement, ensuring active engagement that aligns with and supports the organization’s tactical and strategic goals. * '''Legal Compliance:''' ensure that organizations are compliant with labor laws and regulations, including employment standards, workplace safety, and anti-discrimination policies. In [[startup company|startup companies]], trained professionals may perform HR duties. In larger companies, an entire functional group is typically dedicated to the discipline, with staff specializing in various HR tasks and functional [[leadership]] engaging in strategic decision-making across the [[business]]. To train practitioners for the [[profession]], institutions of higher education, [[professional association]]s, and companies have established programs of study dedicated explicitly to the duties of the function. Academic and practitioner organizations may produce field-specific publications. HR is also a field of research study that is popular within the fields of management and [[industrial/organizational psychology]].One of the important goal of HRM is establishing with the notion of ''unitarism'' (seeing a company as a cohesive whole, in which both employers and employees should work together for a common good) and securing a long-term partnership of employees and employers with common interests.<ref>[https://books.google.com/books?id=NREHDmHdXpAC&pg=PA20 Sonia Bendix (2000 ): The Basics of Labour Relations, p. 20.]</ref> ===Code of ethics=== Code of ethics provides a framework for ethical behavior and professional conduct in HRM. It ensures integrity, fairness, and responsibility. Its function is to guide HR professionals and departments in upholding the rights, safety, and interests of all stakeholders. They are generally categorized into the following:<ref>{{Cite web |date=n.d. |title=Code of Ethics and Rules of Professional Conduct: National Standards |url=https://cphr.ca/your-career/national-standards/ |website=CPHR/CRHA Canada |language=en-CA}} [https://cphr.ca/wp-content/uploads/2023/11/CPHR-Canada-Code-of-Conduct4.pdf PDF]</ref><ref>{{Cite web |date=n.d. |title=Code of Conduct and Ethics |url=https://www.cipd.org/en/membership/professional-standards/code-of-conduct/ |website=CIPD |language=en}} [https://www.cipd.org/globalassets/media/comms/code-of-conduct/2023-cipd-code-of-conduct-and-ethics.pdf PDF]</ref> # '''Duties to the Public:''' HR professionals must act ethically, lawfully, and with integrity. They should address illegal acts, uphold public trust, maintain competence, and engage in continuous professional development. # '''Duties to the Profession:''' HR professionals must uphold the reputation of the profession by avoiding misconduct, adhering to ethical codes, promoting a positive image, and cooperating with investigations or disciplinary processes. # '''Duties to Clients and Employers:''' HR professionals must prioritize the best interests of employers and clients, ensure impartiality, disclose conflicts of interest, maintain accurate records, and safeguard confidentiality. # '''Duties to Individuals:''' HR professionals must advance dignity, equity, and safety for all. They should respect privacy, avoid discrimination or harassment, report imminent risks of harm, and foster an inclusive workplace. # '''Overarching Duties:''' HR professionals must foster trust, respect, and fairness in all relationships. They must act impartially, comply with laws, promote diversity, and resolve disputes ethically and professionally. == Modern HR practices == Technology has a significant impact on [[Human resources|HR]] practices. Utilizing technology makes information more accessible within organizations, eliminates time doing administrative tasks, allows businesses to function globally, and cuts costs.<ref name=":0">1. Lepak, David P., and Scott A. Snell. "Virtual HR: Strategic Human Resource Management in the 21st Century." ''Human Resources Management Review'' 8.3 (1998): 214-34. Web. 22 February 2016. The current and increased significance of information technology in Human Resources processes.</ref> The adoption of modern business practices and [[information technology]] has transformed HR practices in the following ways: === E-recruiting === [[Recruitment|Recruiting]] has mostly been influenced by information technology.<ref name=":1">1. Ensher, E. A., Nielson, T. R., & Grant-Vallone, E. (2002). Tales from the Hiring Line: Effects of the Internet and Technology on HR Processes. ''Organizational Dynamics,'' ''31''(3), 224-244. </ref> In the past, recruiters relied on [[Print ad|printing in publications]] and [[word of mouth]] to fill open positions. Human Resource professionals were not able to post a job in more than one location and did not have access to millions of people, causing the lead time of new hires to be drawn out and tiresome. With the use of e-recruiting tools, HR professionals can post jobs and track applicants for thousands of jobs in various locations all in one place. Interview feedback, [[background check]]s and [[drug test]]s, and [[onboarding]] can all be viewed online. This helps HR professionals keep track of all of their open jobs and applicants in a way that is faster and easier than before. E-recruiting also helps eliminate limitations of geographic location.<ref name=":1" /> === Human resources information systems === HR professionals generally handle large amounts of [[Document|paperwork]] on a daily basis, ranging from department transfer requests to confidential employee [[IRS tax forms|tax forms]]. Forms must be on file for a considerable period of time. The use of [[Human resource management system|human resources information systems]] (HRIS) has made it possible for companies to store and retrieve files in an electronic format for people within the organization to access when needed, thereby eliminating the need for physical files and freeing up space within the office. HRIS also allows for information to be accessed in a timelier manner; files can be accessible within seconds.<ref>1. Johnson, R. D., & Guetal, H. G. (2012). Transforming HR Through Technology. Retrieved from https://www.shrm.org/about/foundation/products/documents/hr tech epg- final.pdf</ref> Having all of the information in one place also allows for professionals to analyze data quickly and across multiple locations because the information is in a centralized location. Human resource analytics can improve human resource management.<ref name="p177">{{cite journal | last1=Angrave | first1=David | last2=Charlwood | first2=Andy | last3=Kirkpatrick | first3=Ian | last4=Lawrence | first4=Mark | last5=Stuart | first5=Mark | title=HR and analytics: why HR is set to fail the big data challenge | journal=Human Resource Management Journal | volume=26 | issue=1 | date=2016 | issn=0954-5395 | doi=10.1111/1748-8583.12090 | pages=1–11| url=https://figshare.com/articles/journal_contribution/9505202 }}</ref> === Virtual management === Technology allows HR professionals to train new staff members in a more efficient manner. This gives employees the ability to access [[onboarding]] and [[Training and development|training programs]] from virtually anywhere. This eliminates the need of organizing costly [[Face-to-face interaction|face-to-face]] training and onboarding sessions. It allows management's to provide necessary training for job success and monitor progress of their employees through [[Distance education|virtual classrooms]] and computerized testing, predict the risk of employee turnover through data analysis, help HR to formulate relevant talent retention and incentive strategies, improve the personal development of the company,<ref>{{Cite journal |last1=Danach |first1=Kassem |last2=El Dirani |first2=Ali |last3=Fayyad-Kazan |first3=Hasan |journal=Proceedings |date=2024-05-23 |title=Navigating HR 4.0: Harnessing AI for Ethical and Inclusive HR Transformation |volume=101 |issue=1 |pages=18 |doi=10.3390/proceedings2024101018|doi-access=free }}</ref> and maintain metrics that aid in performance management.<ref name=":0" /> {{Excerpt|Human resource metrics|paragraphs=1|only=paragraphs}} Virtual management also allows HR departments to quickly complete necessary paperwork for large numbers of new employees and maintain contact with them throughout their entire professional cycle within the organization. Through virtual management, employees gain greater control over their learning and development, feel more engaged with the organizational culture, and can participate in training at a time and place of their choosing, helping them manage their [[work–life balance]] and reducing [[layoffs]] and [[Turnover (employment)|turnover]]. === Employer of record === An Employer of Record (EOR) is an arrangement in which a third-party organization serves as the official employer for a company's workforce, handling various HR functions such as payroll, tax compliance, and employee benefits, while the client company retains day-to-day management of the workers. This arrangement eliminates the need for an organization to directly engage in HRM matters, allowing it to focus on other priorities. === HRM consultancies === HRM consultancies are private organizations that offer tailored solutions through specialized expertise for a fee. They design customized human resource strategies and processes to address each company's unique needs. Their services include developing recruitment plans, compensation frameworks, training programs, and performance management systems, all aligned with specific HR practices and the organization's goals and culture. By acting as consultants, they provide targeted solutions that help businesses optimize their workforce and achieve organizational objectives in complex and evolving market conditions. == Careers == There are half a million HR practitioners in the United States and millions more worldwide.<ref name="Assoc">{{cite journal|url=http://cornellhrreview.org/2010/02/21/the-changing-environment-of-professional-hr-associations/ |title=The Changing Environment of Professional HR Associations |author=Jonathan E. DeGraff |date=21 February 2010 |journal=[[Cornell HR Review]] |access-date=21 December 2011 |url-status=dead |archive-url=https://web.archive.org/web/20120211012205/http://cornellhrreview.org/2010/02/21/the-changing-environment-of-professional-hr-associations/ |archive-date=11 February 2012 }}</ref> The [[Chief human resources officer|Chief HR Officer]] or HR Director is the highest ranking HR executive in most companies. He or she typically reports directly to the [[chief executive officer]] and works with the [[Board of Directors]] on [[CEO succession]].<ref>{{cite web|last=Wright|first=Patrick|title=The 2011 CHRO Challenge: Building Organizational, Functional, and Personal Talent|url=http://www.ilr.cornell.edu/cahrs/upload/2011-CHRO-Survey-Report.pdf|publisher=Cornell Center for Advanced Human Resource Studies (CAHRS)|access-date=3 September 2011}}</ref><ref>{{cite book|last=Conaty, Bill|first=and Ram Charan|title=The Talent Masters: Why Smart Leaders Put People Before Numbers|year=2011|publisher=Crown Publishing Group|isbn=978-0-307-46026-4|url=https://archive.org/details/talentmasterswhy00cona}}</ref> Within companies, HR positions generally fall into one of two categories: generalist and specialist. Generalists support employees directly with their questions, grievances, and work on a range of projects within the organization. They "may handle all aspects of human resources work, and thus require an extensive range of knowledge. The responsibilities of human resources generalists can vary widely, depending on their employer's needs." Specialists, conversely, work in a specific HR function. Some practitioners will spend an entire career as either a generalist or a specialist while others will obtain experiences from each and choose a path later. [[Human resource consulting]] is a related career path where individuals may work as advisers to companies and complete tasks outsourced from companies.<ref>{{cite web|url=https://www.onbenchmark.com/blog-detail/workforce-as-a-service-waas-future-of-hiring |title=Workforce-as-a-Service (WaaS)-Future of Hiring |publisher=OnBenchMark}}</ref> Some individuals with PhDs in HR and related fields, such as [[industrial and organizational psychology]] and [[management]], are professors who teach HR principles at colleges and universities. They are most often found in Colleges of Business in departments of HR or Management. Many professors conduct research on topics that fall within the HR domain, such as [[financial compensation]], [[recruitment]], and [[training]]. Women were found over-represented in human resource management.<ref name="o963">{{cite journal | last=Ainsworth | first=Susan | last2=Pekarek | first2=Andreas | title=Gender in Human Resources: Hiding in plain sight | journal=Human Resource Management Journal | volume=32 | issue=4 | date=2022 | issn=0954-5395 | doi=10.1111/1748-8583.12437 | doi-access=free | pages=890–905}}</ref> == Professional associations == {{main|List of human resource management associations}} There are a number of professional associations, some of which offer training and certification. The [[Society for Human Resource Management]], which is based in the [[United States]], is the largest professional association dedicated to HR,<ref name="Assoc"/> with over 285,000 members in 165 countries.<ref>[http://www.shrm.org/about/ SHRM Website: About SHRM] {{webarchive|url=https://web.archive.org/web/20090116112745/http://shrm.org/about/ |date=2009-01-16 }}</ref> It offers a suite of [[Professional in Human Resources]] (PHR) certifications through its HR Certification Institute. An international provider of specialized certifications is Academy to Innovate HR (AIHR). The [[Chartered Institute of Personnel and Development]], based in [[England]], is the oldest professional HR association, with its predecessor institution being founded in 1918. Several associations also serve specific niches within HR. The Institute of Recruiters (IOR) is a recruitment professional association, offering members education, support and training.<ref>{{cite web |url=http://www.theior.org.uk/ |publisher=Institute of Recruiters (IOR) |access-date=22 December 2011 |title=About IOR |archive-date=17 April 2019 |archive-url=https://web.archive.org/web/20190417094920/https://www.theior.org.uk/ |url-status=dead }}</ref> WorldatWork focuses on "total rewards" (i.e., compensation, benefits, work life, performance, recognition, and career development), offering several certifications and training programs dealing with [[remuneration]] and work–life balance. Other niche associations include the [[American Society for Training & Development]] and [[Recognition Professionals International]]. A largely academic organization that is relevant to HR is the [[Academy of Management]] that has an HR division. This division is concerned with finding ways to improve the effectiveness of HR.<ref>{{cite web|url=http://aom.org/Divisions-and-Interest-Groups/Human-Resources/Human-Resources-Division.aspx|title=Human Resources Division|website=aom.org|access-date=19 January 2018|archive-date=20 February 2014|archive-url=https://web.archive.org/web/20140220155625/http://aom.org/Divisions-and-Interest-Groups/Human-Resources/Human-Resources-Division.aspx|url-status=dead}}</ref> The academy publishes several journals devoted in part to research on HR, including ''[[Academy of Management Journal]]''<ref name="amj.aom.org">{{cite web|url=http://amj.aom.org/|title=Academy of Management Journal|website=amj.aom.org|access-date=19 January 2018|archive-date=23 November 2022|archive-url=https://web.archive.org/web/20221123053325/https://amj.aom.org/|url-status=dead}}</ref> and ''[[Academy of Management Review]]'',<ref name="amr.aom.org">{{cite web|url=http://amr.aom.org/|title=Academy of Management Review|website=amr.aom.org|access-date=19 January 2018|archive-date=23 November 2022|archive-url=https://web.archive.org/web/20221123025105/https://amr.aom.org/|url-status=dead}}</ref> and it hosts an annual meeting. ==Education== [[File:ILRschools6.jpg|thumb|250px|right|The [[Cornell University School of Industrial and Labor Relations|School of Industrial and Labor Relations]] at [[Cornell University]] was the world's first school for college-level study in HR.]] Some universities offer programs of study for human resources and related fields. The [[Cornell University School of Industrial and Labor Relations|School of Industrial and Labor Relations]] at [[Cornell University]] was the world's first school for college-level study in HR.<ref>{{cite web |title= About Cornell ILR |url= http://www.ilr.cornell.edu/about/ |publisher= [[Cornell University School of Industrial and Labor Relations]] |access-date= 23 August 2009}}</ref> It currently offers education at the [[Undergraduate education|undergraduate]], [[Postgraduate education|graduate]], and [[Professional development|professional]] levels, and it operates a joint degree program with the [[Samuel Curtis Johnson Graduate School of Management]]. In the [[United States of America]], the [[Human Resources University]] trains federal employees. Many colleges and universities house departments and institutes related to the field, either within a [[business school]] or in another college. Most business schools offer courses in HR, often in their departments of management. In general, schools of human resources management offer education and research in the HRM field from diplomas to doctorate-level opportunities. The master's-level courses include [[Master of Business Administration#Content|MBA (HR)]], [[Master of Management|MM (HR)]], MHRM, MIR, etc. (See [[Master of Science in Human Resource Development]] for curriculum.) Various universities all over the world have taken up the responsibility of training human-resource managers and equipping them with [[Interpersonal communication|interpersonal]] and [[intrapersonal]] skills so as to relate better at their places of work. As Human resource management field is continuously evolving due to technology advances of the [[Fourth Industrial Revolution]], it is essential for universities and colleges to offer courses which are future oriented.<ref>{{cite web |title=HR Courses |url=https://mycourses.renot.co.za/human-resources-courses-of-the-future-in-south-africa/ |website=My Courses |access-date=30 October 2019}}</ref> ===Theory and research=== Ongoing research investigates the relationship between human research management and performance and includes [[organization studies]], [[industrial and organizational psychology]], [[organizational theory]] and [[management science]].<ref name="n540"/> Human resource management research can improve human resource management and HR initiatives.<ref name="n540">{{cite journal | last=Guest | first=David E. | title=Human resource management and performance: still searching for some answers: Human Resource Management and Performance | journal=Human Resource Management Journal | volume=21 | issue=1 | date=2011 | doi=10.1111/j.1748-8583.2010.00164.x | pages=3–13}}</ref> The effect size of human resource management decreases when correcting for past performance of employees.<ref name="n540"/> ===Publications=== <!-- Please keep in alphabetical order --> Academic and practitioner publications dealing exclusively with HR: * ''[[Cornell HR Review]]''<ref>{{cite web|url=http://www.cornellhrreview.org/|title=Cornell HR Review — The Cornell HR Review is a student-run HR publication that provides timely articles, essays, and executive commentary.|website=cornellhrreview.org|access-date=19 January 2018}}</ref> * ''[[HR Magazine]]'' ([[Society for Human Resource Management|SHRM]])<ref>{{cite web|url=https://www.shrm.org/hr-today/news/hr-magazine/1217/pages/default.aspx|title=HR Magazine: December 2017 / January 2018|date=30 November 2017|website=SHRM|access-date=19 January 2018|archive-date=29 November 2020|archive-url=https://web.archive.org/web/20201129230447/https://www.shrm.org/hr-today/news/hr-magazine/1217/Pages/default.aspx|url-status=dead}}</ref> * ''Human Resource Management''<ref>{{cite journal|title=Human Resource Management|doi=10.1002/(issn)1099-050x|doi-access=|journal=Human Resource Management }}</ref> * ''Human Resource Management Review''<ref>{{cite book|url=http://www.journals.elsevier.com/human-resource-management-review/|title=Human Resource Management Review|access-date=19 January 2018}}</ref> * ''International Journal of Human Resource Management''<ref>{{Cite news |url=http://www.tandfonline.com/toc/rijh20/current#.Uxhl2YXCyDs |title=The International Journal of Human Resource Management|newspaper=Taylor & Francis}}</ref> * ''[[Perspectives on Work]]'' ([[Labor and Employment Relations Association|LERA]])<ref>{{cite web |url=http://leraweb.org/publications/perspectives-work |title=Perspectives on Work | LERA |access-date=2014-03-12 |url-status=dead |archive-url=https://web.archive.org/web/20140312224640/http://leraweb.org/publications/perspectives-work |archive-date=2014-03-12 }}</ref> Related publications: * ''[[Academy of Management Journal]]''<ref name="amj.aom.org"/> * ''[[Academy of Management Review]]''<ref name="amr.aom.org"/> * ''[[Administrative Science Quarterly]]''<ref>{{cite web|url=http://www.johnson.cornell.edu/Administrative-Science-Quarterly.aspx|title=Johnson at Cornell - Administrative Science Quarterly|first=Johnson at|last=Cornell|website=johnson.cornell.edu|access-date=19 January 2018}}</ref> * ''International Journal of Selection and Assessment''<ref>{{cite journal|title=International Journal of Selection and Assessment|doi=10.1111/(issn)1468-2389|journal=International Journal of Selection and Assessment }}</ref> * ''[[Journal of Applied Psychology]]''<ref>{{cite web|url=http://www.apa.org/pubs/journals/apl/index.aspx|title=Journal of Applied Psychology|website=apa.org|access-date=19 January 2018}}</ref> * ''[[Journal of Management]]''<ref>{{cite web | url=http://jom.sagepub.com/ | title=Journal of Management}}</ref> * ''[[Journal of Occupational and Organizational Psychology]]''<ref>{{cite journal|title=Journal of Occupational and Organizational Psychology|doi=10.1111/(issn)2044-8325|journal=Journal of Occupational and Organizational Psychology }}</ref> * ''[[Journal of Personnel Psychology]]''<ref>{{cite web|url=http://www.hogrefe.com/periodicals/journal-of-personnel-psychology/|title=Journal of Personnel Psychology|website=hogrefe.com|access-date=19 January 2018|archive-date=26 December 2010|archive-url=https://web.archive.org/web/20101226020704/http://www.hogrefe.com/periodicals/journal-of-personnel-psychology/|url-status=dead}}</ref> * ''[[Organization Science (journal)|Organization Science]]''<ref>{{cite web|url=http://pubsonline.informs.org/loi/orsc|title=Organization Science - INFORMS|website=pubsonline.informs.org|access-date=19 January 2018}}</ref> * ''[[Personnel Psychology]]''<ref>{{cite journal|title=Personnel Psychology|doi=10.1111/(issn)1744-6570|journal=Personnel Psychology|year=2015 }}</ref> == See also == * [[Aspiration management]] * [[Domestic inquiry]] * [[Employment agency]] * [[Human resource management system]] * [[Organization development]] * [[Organizational theory]] * [[Realistic job preview]] * [[Recruitment]] ==Notes== {{Reflist|30em}} ==References== *Johnason, P. (2009). HRM in changing organizational contexts. In D. G. Collings & G. Wood (Eds.), Human resource management: A critical approach (pp. 19–37). London: Routledge. *{{cite journal |ssrn=3099470 |first=E. |last=McGaughey |year=2020 |title=A Human is not a Resource |volume=31 |issue=2 |journal=King's Law Journal |page=1|doi=10.1080/09615768.2020.1789441 }} == External links == {{Library resources box}} * {{Commons category-inline|Human resources management}} * {{Wikiquote-inline}} {{Management}} {{Authority control}} {{DEFAULTSORT:Human Resource Management}} [[Category:Human resource management| ]]
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