Commerce · Ch 9 — Fundamentals of HRM
Functions of HRM
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Functions of HRM
The functions of HRM are traditionally grouped into two broad categories — managerial functions (the same four/five functions every manager performs, applied specifically to the human resource) and operative functions (the specific, HR-specific activities that put those managerial functions into practice).
| Category | Function | Brief description |
|---|---|---|
| Managerial | Planning | Forecasting future manpower needs and deciding HR policies and programmes in advance to meet them. |
| Managerial | Organising | Designing the structure of relationships among jobs, personnel, and physical resources in the HR area, so that HR-related work is properly divided and coordinated. |
| Managerial | Directing | Motivating, guiding, and leading employees so that they willingly cooperate to achieve the objectives set for them. |
| Managerial | Controlling | Observing and comparing actual HR-related performance (attendance, output, discipline) with the standards set, and correcting deviations. |
| Operative | Procurement | Obtaining the right number and kind of people needed — human resource planning, recruitment, and selection. |
| Operative | Development | Increasing the skill and capability of employees through training, executive development, and career planning. |
| Operative | Compensation | Determining adequate and equitable pay, incentives, and benefits for the work performed. |
| Operative | Integration | Reconciling individual, group, and organisational interests so that employees cooperate willingly rather than under compulsion — includes motivation, participation, and grievance handling. |
| Operative | Maintenance | Sustaining and improving the conditions that have been established — covers employee health, safety, and welfare facilities. |