Personnel Management v/s Human Resource Management

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Every individual works in an organization with a common goal and i.e they all want to achieve organizational goals. These goals are achieved by the accumulated effort of all individuals working in an organization that can only be attained through proper man-management. Therefore to ensure that the organization works like a well-oiled machine employees working in the organization adopt two basic approaches these are human resource management and personnel management. (Georgiou,2015) In this article, we are going to talk about the difference between hr and hrm.

The different scope and orientation of both the management approaches separates one from the other. Personal Management has an inverted approach and the scope is very limited. Here the employees are considered to be tools and their behaviors can be easily manipulated so that they can be used to the best advantage of an organization and are generally ejected from an organization when their purpose is served. 

On the other hand, the overall scope of human resource management is comparatively wider and works for the best interest of the employees considering them to be an asset to the organization promoting mutual accountability, responsibility, rewards etc. 

In ancient times the payroll management staffing and other functions of the HRM system were taken care of by the personal management system and was known as Traditional Personnel Management because in those days the human resource management system was not very prevalent. It has later emerged as an extension to the traditional personal management system. 

Personal Management

A part of management that deals with hiring, staffing, recruitment, and also decides on the compensation of the employees that would be distributed among them depending on their role in the organization is termed as personal management. . (Lajara, et. al,2002) The complete functions of personal management can be categorized in the following categories-

  • Activities concerning procurement in an organization, along with employee development, their compensation, their overall job role evaluation, and maintenance and employee welfare are termed as operative functions. 
  • The second category is where activities concerning organizing, directing, controlling, planning, motivating, and coordinating between different sections are held. These activities are known as managerial activities. With the advancement of technology all these activities that were previously left to humans are now being replaced by machines so that quantum of work can be delivered in lightening speed with 100% accuracy using lesser manpower. 

Human Resource Management 

The branch concerning maintenance, utilization, development, acquisition, and coordination is termed as human resource management. The main objective is to create an employee-centric environment through systematic management of manpower. This is initially initiated through proper selection, training, and making the employees go through performance appraisal techniques so that their true worth can be analyzed and they can be put under the right pay scale to avoid exploitation.  

The main purpose of human resource management is to recruit the right manpower for the right job. (Patil, et.al,2010) In totality, it is the basic art toimplement the organizational resources effectively and efficiently. To gather detailed knowledge on human resources students can seek instant assignment help from OmanEssay. Some of the basic activities that the human resource is comprised of are –

  • Selecting & Recruiting An Employee In An Organization.
  • Developing and training the particular employee for a specific job role
  • Employing the employee
  • Deciding the salary and wage of the employee
  • Deciding the relation of the employee with the organization he is employed to. 
  • Ensuring that the employee performs his duties in a healthy and safe environment. 
  • Providing opportunities to the employee to educate himself
  • Assessing the employee correctly and building a proper appraisal system to ensure the employee gets what he is worthy of. 

Difference Between Personnel And Human Resource Management

When it comes to differentiating between human resource management and personal management most students mistake it to be one of the same. (Kayl,et.al,2017) In the points below, we have briefly listed HRM vs. Personnel Management.

  • Personal management is the traditional way of handling employees on the other hand human resource management is comparatively a new approach and is more specific. 
  • The objective of personal and human resource management is also very different from one another. Human resource focuses on maintaining a cordial relation between the employees in an organization by implementing strategies of self-motivation whereas on the other hand personal management focuses on the smooth functioning of an organization by focusing on developing an organizational structure that would force an employee to work according to the company specifications. This can also be at the cost of an employee’s welfare.
  • The assumptions of HRM vs. Personnel Management also are very different from one another. Personal management assumes that the HR is merely an input that is used to achieve the goals of an organization and human resource management assumes the HR to be the most important influencing factor that decides whether or not the organization will meet the desired goals. 
  • According to personal management, the satisfaction of employees depends on personal actions and functions allocated by the administration and as per HRM self-satisfaction of an employee greatly depends on administrative functions. 
  • In personal management, the job role is designated to the labor or individual employees by the organization whereas in human resource management the job roles are designated among teams so that everybody can work together towards a common goal. 
  • Personal management does not emphasize on employee training before they put them to work. Only a brief description of their job role is provided to them before deployment and most of the work is learned on the ground whereas on the other hand human resource management gives a lot of importance and weightage to the training of employees to ensure that the employees have the required skills and expertise before they are allotted a particular job role. 
  • Personal management operates on a high-Archie system where an invisible line is drawn between the top and mid-level management wherein every level of management takes decisions based on set guidelines. On the other hand, human resource management believes to take a more friendly approach and consider the employee’s point of view, perception before the management finalizes any decision.
  • Personal management aims at increasing the company sales while human resource management aims at increasing the productivity of employees which in turn increases the overall production of the organizing increasing profit margins.
  • Personal management pays head to the top management whereas human resource management pays head to managers at all levels.
  • Human resource management takes a strategic approach when it comes to functions on the other hand personal management runs on routine functions. Therefore it can be said that the advanced, revised, and finer version of personal management is human resource management. 
  • In the case of personal management, the job done by employees is evaluated, and based on the evaluation the salary is decided. On the other hand, human resource management evaluates the performance of an employee and decides on the pay.
  • Human resource management takes a faster approach compared to personal management when it comes to making decisions. 
  • There is a specific role of the union manager in personal management who comes into the picture when there is a discrepancy between the employees and the management and acts as a bridge of communication. On the other hand, the human resource management has a separate contract with the individual employees and has different departments dedicated to solve different kinds of conflicts therefore there is no need for a union manager in organizations that follow the human resource management system.
  • In companies that follow the traditional personal management system employees are treated like resources that have no feeling or skills and in organizations that follow the modern human resource management system employees are treated with care keeping their sensitivity and ego in mind. 

Conclusion 

Therefore it can be said that HRM is very different from personal management. Personal management is company-centric whereas human resource management is an employee-centric approach. Personal management deals with hiring, staffing, and recruitment, the complete functions of personal management can be categorized in the following categories-

Activities concerning procurement in an organization, along with employee development, their compensation, their overall job role evaluation, maintenance, and employee welfare are termed as operative functions. 

The second category is where activities concerning organizing, directing, controlling, planning, motivating, and coordinating between different sections are held. These activities are known as managerial activities. With the advancement of technology all these activities that were previously left to humans are now being replaced by machines so that quantum of work can be delivered at lightning speed with 100% accuracy using lesser manpower.  

Whereas the branch concerning maintenance, utilization, development, acquisition, and coordination is termed as human resource management, the main objective is to create an employee-centric environment through systematic management of manpower. The main purpose of human resource management is to recruit the right manpower for the right job.

References

Georgiou, A. (2015). Personnel Management vs. Human Resource Management.

Lajara, B. M., Lillo, F. G., & Sempere, V. S. (2002). The role of human resource management in the cooperative strategy process. Human Resource Planning, 25(2).

Patil, S. S., & Patil, V. S. (2010). HRM Practices in Sugar Cooperatives-A Case Study of Sanjivani Sahakan Sakhar Karkhana Limited, Tiska, Goa. Prabandhan: Indian Journal of Management, 3(5), 17-31.

Kayl, I. I., Zudina, E. V., Epinina, V. S., Bakhracheva, Y. S., & Velikanov, V. V. (2017). Effective hr management as the most important condition of successful business administration. In Integration and Clustering for Sustainable Economic Growth (pp. 23-30). Springer, Cham.

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