Evolution of HRM
Earlier references: In western countries HRM had its primitive beginning in 1930s. Not much thought was given on this subject in particular and no written records or documents interesting to note HRM concepts was available, in ancient philosophies of Greek, Indian and Chinese. This is not to suggest that industrial establishment and factories system, as it is known today, existed in ancient Greece, India or china. The philosophy of managing human being, as a concept was found developed in ancient literatures in general and in Indian philosophy in particular.
Personnel functions: Till 1930s, it was not felt necessary to have a separate discipline of management called “Personnel management”. In fact, this job was assigned as part of the factory manager. Adam Smith’s concept of factory was that it consists of three resources, land, labour and capital. This factory manager is expected to “procure,
Process and peddle” labour as one of the resources. The first time when such a specialist “person” was used; it was to maintain a “buffer” between employer and employee to meet the “legitimate need” of employees. However, it is the employer who decided what is “legitimate need” of employees. In fact, the specialist “person” was more needed to prevent “unionization” of employees. This was the case before 1930-s all over the world.
Environmental Influences on HRM: Since 1930s, certain developments took place, which greatly contributed, to the evolution and growth of Human Resources Management (HRM). These developments are given below:
Scientific Management
Labour Movements
Government Regulations.
Need for the Study :
Shortage of skills.
Skills and knowledge people are always on short supply. Alternatively they are too costly to hire from outside. The best alternative is to improve skill and knowledge of existing employees.
Technological Obsolescence.
Growth of technology takes places very fast. This will