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Exercises · Q5

Q.Explain the scope of HRM.

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The scope of HRM covers the following main areas:

  1. Human resource planning — forecasting future manpower needs and planning to meet them.
  2. Job analysis and design — studying what a job involves and deciding how its tasks and responsibilities should be organised.
  3. Recruitment and selection — attracting suitable candidates and choosing the most suitable among them (covered in full in the dedicated chapters that follow).
  4. Training and development — improving present skills and preparing employees for future responsibilities (also covered in a dedicated chapter that follows).
  5. Performance appraisal — evaluating employee performance systematically against set standards.
  6. Compensation and benefits management — deciding fair wages, incentives, and benefits.
  7. Industrial relations — maintaining healthy relations between management and employees, and handling disputes fairly. …

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