History of Human Resource Management

Introduction to HRM

Human resource
management (HRM) is one of the most difficult and challenging areas in modern
management. The term human resource refers to knowledge, skills, creative abilities,
talents, and aptitudes of an organization’s workforce in totality. It also includes
individual values, attitudes, and beliefs (Leon C. Megginson).

The traditional approaches to personnel management had stressed upon command and
control. These approaches paved the way for newer approaches that emphasize greater
freedom and support to the employee. Before the 1980s, personnel administration was
characterized by standardization, while consistency and conformity were the chief
characteristics of the management policy. These days, however, flexibility has become
a significant aspect of a company’s corporate human resource strategy.

History of Human Resource Management

Personnel management, which was practiced years ago, is very different from the
human resource management prevalent today. There are three main approaches to
HRM. These are the scientific management approach, the human relations approach,
and the human resources approach. Of these, the human resources approach has
gained importance in recent times.

Scientific Management Approach
Fredrick Taylor (Taylor), regarded as the father of scientific management, focused on
the study of motions that were required for each job, the tools used, and the time
needed to accomplish each task. Based on such scientific study, fair performance
standards were determined for each job, and workers who produced more than the
standard output were given incentives. The time-and-motion studies of Taylor were
highly standardized, required little mental effort, and replaced the ‘rule-of-the-thumb’
work methods with ‘one best way’ of doing a job. However, workers did not get the
chance to exercise their judgment or decision making power. Another issue that
created problems was a belief that was the basis of scientific management -- that
workers were only motivated by money.

Human Relations Approach
The Hawthorne studies, conducted by Elton Mayo and F. J. Roethlisberger, during the
1930s and 1940s, forced organizations to shift their attention from the scientific
management approach to the human relations approach.Thus, during the 1950s and 1960s, the human relations approach began to be
considered as outdated and was discarded by many organizations.

Human Resources Approach
The human resources approach treats organizational objectives and employee needs as
mutual and compatible, and as issues which can be dealt together. The human
resources approach is based on the following principles.
 Employees are the assets of an organization.
 Policies, programs, and practices should meet the needs of employees, and assist them
in their work and enable personal development.
 A favorable work environment should be created and maintained in order to
encourage employees to develop and harness their knowledge and skills for the
benefit of the organization.
According to the human resources approach, the HR policies and practices should be
aligned with the aim of balancing individual and organizational needs. This balance
can be achieved if organizations and employees help each other in achieving their
respective goals

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