EVOLUTION STAGES OF HUMAN RESOURCE MANAGEMENT
(Image Source : Quick Leonard
Kieffer,2023, https://qlksearch.com/evolution-of-human-resources/)
The term "human
resource management" is relatively new. It became popular in its present
sense primarily after the 1980s. Production of commodities was mostly done by
skilled artisans and craftsmen during ancient times and for a long time during
the medieval era. They possessed the tools and instruments, created items, and
sold them on the market.
As
such, the question of employer-employee or master-servant relationship did not
arise in these cases. They managed their job themselves or with the help of
their family members.
Many
effluent craftsmen also employed apprentices and certain types of hired
laborers. The master craftsmen and the apprentices had a very tight
relationship, and they took care of the problems that the apprentices and their
family members faced. A bit of human approach was involved in their relationship.
The ancient and a major part of the medieval period also witnessed prevalence of certain other distinct types of labourers. These comprised slaves, serfs and indentured labourers.
MANAGING SLAVES
Slaves were a significant source of labor in practically all
ancient civilizations. They might be bought and traded like commodities. The
affluent kings, landlords, tribal chiefs, and effluent businesses were their
main customers. Slave buyers had almost total authority over their captives.
Slave lords forced them to do a range of difficult tasks. Food, shelter, and
clothing were the primary forms of recompense or compensation for their
services.
They were subjected to monitoring, and disobeying their masters' or supervisors' orders was generally penalized by physical tortures, mutilation of their limbs, and even death sentence for serious offenses.
MANAGING SERFS
Serfdom was widespread in feudal civilizations during the
pre- and early medieval periods. Landlords employed serfs mostly in
agricultural operations and related tasks. The landlords would usually offer
them some acreage for their habitat as well as some area for farming. In many
situations, a pittance of money was supplied to them in order for them to
remain loyal to their masters.
There was some personal relationship between the landowners and the serfs during serfdom. Many landlords attempted to resolve legitimate issues and provide assistance to individuals in need.
MANAGING INDENTURED LABOUR
The management of indentured labour
differed significantly from that of slaves and serfs. As long as these
indentured laborers remained with their employers, they had to abide by the
mutually agreed-upon terms and conditions, as well as those imposed
unilaterally by their employers.
Contract breach was a punished offense
under the law. Indentured laborers, like their free counterparts, faced a slew
of issues, including poor compensation, excessive hours of work, unsanitary and
hazardous physical working conditions, and job insecurity.
Evolution of Human Resource Management – From 19th Century till Recent
Times: Different Eras of Human Resource Management.
(Image Source: Huge Reference Manual, 2023)
‘Human
Resource Management (HRM), being the department responsible for maintaining discipline,
has come a long way. The term HRM is relatively a very new term for handling
employees in every organization. It is still evolving and will keep on evolving
to keep up with the changing world.’
(Pocket
HRMS, 2023)
01. THE INDUSTRIAL
REVOLUTION ERA (19TH CENTURY)
The systematic development of HRM started
with industrial revolution that started during 1850s in Western Europe and USA.
The old cottage system was supplanted by the industrial system. The industrial
revolution brought about a variety of changes, such as consolidated work places
with a large number of people collaborating, mechanized production processes,
worker migration from their place of origin, and indirect communication between
factory owners and workers.
To manage people in the
manufacturing system of the industrial revolution, three HRM systems were
developed,
01. Worker recruiting
02. Worker training
03. Worker control
However, the primary
management concept revolved upon the master-servant relationship.
02. PERIOD OF TRADE UNIONISM
ERA (CLOSE TO THE 19TH CENTURY)
Shortly after the factory system was
established, employees began to organize themselves based on their common
interests to form workers' associations, which became known as trade unions.
The primary goals of these organizations were to protect their members'
interests and to solve their problems, which emerged mostly as a result of the
use of child labour, long hours of work, and bad working conditions. Economic
concerns and wages, employee benefits and services, and so on, became
challenges later on. For the acceptance of their demands, these labour unions
began using weapons such as strikes, slowdowns, walkouts, boycotts, and so on.
These trade union activities compelled owners
and managers to implement employee grievance systems, arbitration as a means of
resolving disputes between owners/managers and workers, disciplinary practices,
expansion of employee benefit programs, holiday and vacation time, clear
definition of job duties, job rights through seniority, and the implementation
of rational and defensible wage structures.
03. SOCIAL RESPONSIBILITY
ERA (BEGINNING OF THE 20TH CENTURY)
In the first decade of the twentieth century,
some factory owners began to take a more humanistic and paternalistic approach
to workers. The paternalistic approach to labour management is founded on the
notion that labour is similar to a child and the owner is similar to a father,
and the owner should care for his labour like a father does for his children.
Those industrialists who took a paternalistic
approach provided a lot of concessions and benefits to the labour force, such
as shortened work hours, enhanced workplace facilities, model towns for
employees, and so on. All of these methods contributed to the advancement of
the social welfare side of labor management.
It is evident that this approach was adopted to overcome the problems raised by labour union movement since plenty of trade unions actions frequently interrupted work performance. Employers noticed that workers were escaping their authority and established a welfare plan to address this issue. This was a compulsion rather than a philosophy
04. SCIENTIFIC MANAGEMENT ERA (1900-1920S)
Taylor began researching the 'one optimum way of doing
things' at the turn of the twentieth century, based on time and motion studies.
He was able to significantly boost worker productivity using his studies, and
he authored many papers and a book on scientific management based on these
experiments.
05. HUMAN RELATIONS ERA (1930S-1950S)
Around the 1920s, management researchers
focused on the human aspect at work and the factors that influenced people's
behavior.
This brief period was termed as ‘Industrial
Psychology Era’. In 1924, a group of professors from Harvard Business School in
the United States initiated an investigation into the human aspects of
employment and working conditions at Western Electric Company's Hawthorne
factory in Chicago.
(Source:
WallstreetMojo, 2023)
The researchers conducted from 1924 to 1932 concluded
that productivity of workers depended on,
Social factors at the workplace
Group formation and group influence
Nature of leadership and supervision
Communication.
(Manashree C, 2022)
06.BEHAVIOURAL SCIENCE ERA (1950S-1960S)
In
contrast to human relations, which assume that happy workers are productive
workers, behavioral scientists have been goal-oriented and see study of human
behavior as the primary method to that objective. They have used a variety of
advanced research methodologies to better understand the nature of work and the
people who work in it.
Behavioral
scientists' contributions to management practices are generally in the form of
fresh insights rather than new methodologies. It has created or enlarged a
valuable way of thinking about the manager's function, the nature of
organizations, and the behavior of individuals inside them. They have given the
concept of human resource model as opposed to human relations model.
Major
conclusions of the contributions made by behaviouralists are as follows:
i.)People
do not despise their jobs. They will desire to achieve their goals if they have
been assisted in setting them. In fact, the job itself provides people with
motivation and fulfillment.
ii.)
Most people are capable of exercising greater self-direction and self-control,
as well as generating more creativity than is required in their current
employment. As a result, their unrealized potential remains untapped.
iii.)
Managers’ basic job is to use untapped human potential in the organization.
iv.)
Managers should foster a healthy workplace where all employees may contribute
to the best of their abilities. The work environment should be a healthy, safety,
comfortable, and convenient place to work.
v.)
Managers should allow their subordinates to direct their own work and encourage
them to participate fully in all crucial decisions.
The behavioral science era resulted in the creation of two-way communication, employee engagement in decision making, joint goal-setting, group dynamics, management development, and change management in an organization. Even today, the contributions of the behavioral science era form the foundation of the behavioral approach to human resource management.
07.
SYSTEMS AND CONTINGENCY APPROACH ERA (1960 ONWARDS)
In the current time frame, management theorists have focused their attention on systems and contingency planning. It is an integrated strategy based on empirical data that analyzes human resource management in its whole. The main assumption behind this approach is that any object must be analyzed using a process that involves simultaneous variations of mutually-dependent variables. This occurs when a systems approach is used to manage human resources.
08.
HUMAN RESOURCE MANAGEMENT ERA (1960 ONWARDS)
When the factory system was implemented in
production, a huge number of workers began to collaborate. It was considered
that someone should be in charge of recruiting, developing, and overseeing the
welfare of these personnel. For this aim, most large corporations established
industrial relations departments that were primarily concerned with workers.
However, as time passed and the complexity of
managing human resources in major commercial organizations grew, the scope of
the industrial relations department was expanded to include supervisory and,
later, management people. The personnel department replaced the industrial
relations department.
With increased competition for market share,
competition for resources including human talents, and increased knowledge in
the field of managing human resources, people were treated as socio-psychological
beings rather than physiological beings as a primary source of organizational
effectiveness, and large organizations changed the name of their personnel
department to human resource 'department to reflect the contemporary view.
A similar approach was followed at the
academic level, and the title of the personnel management course was altered to
human resource management. Since then, the phrase has progressively replaced
the tired phrase "personnel management."
INNOVATIONS FOR MODERN HRM
Techniques must evolve with the passage of
time. With the introduction of improved HR technologies, a need for a better
method to manage personnel in every firm arose. The concept of HRM evolution
has grown and continues to grow throughout time.
The incorporation of HRMS software in
organizations is a tried and true approach of increasing production and
efficiency. With the multiple benefits of human resource management, numerous
organizations are taking use of it, and the results are unsurprisingly highly positive.
With the increased number of companies and employees, a single person cannot
perform all of the administrative activities in the organization.
As a result, the
evolution and growth of HRM (human resource management) have progressed
significantly. With advances in technology and software, managing personnel in
any firm has become smooth task.
CONCLUSION
The term of human resource management is
coming since the civilization of the mankind has been evolved time to time
until now. Earlier the employers were only focused on the work & the
profits and the attention towards the employees were very less. However with
the inception of industrial revolution the term of people management arise
significantly and has been evolved continuously according to the situation up
to now as we concern same as human resource management. The article explains
the timely evolution of the modern HRM.
In current context, HRM is playing a major
role of an organization and directly influence in achieving organization’s
overall targets. Employers are investing their time & money to improve the
level of efficiency of the human resource management since it is the backbone
of their success. The process is implementing day by day and will be continued
with positive changes.
REFERENCES
https://www.youtube.com/watch?v=Kxc8KceOb14&t=16s
Manashree C.(2022),Economics
Discussion.Evolution of Human Resource Management (HRM).[Online]Available
at https://www.economicsdiscussion.net/human-resource-management/evolution-of-human-resource-management-hrm/31460 Accessed on 05th April 2023.
Pocket HRMS.(2023)The Evolution of HRM(Human Resource
Management)[Online].Available at https://www.pockethrms.com/blog/the-evolution-of-hrm-human-resource-management/ Accessed on 05th
April 2023.
This is very good article. How do you see HRM in like 10 Years from now?
ReplyDeleteHi Nimesh a good and valued article that includes realistic points to evaluate the evolution of the HRM. As per my understanding, I feel that evaluation of the HRM really helped and benefitted to employees such as well being, job security, welfare, health and safety. What do you think about that?
ReplyDeleteIt’s very good topic. I would like to include this area also.
ReplyDeleteIn an organization, managing human resources is referred to as human resource management (HRM), a phrase that is relatively new. Organizational behavior, personnel management, industrial relations, and labour law are all components of HRM as it continues to develop. The steps taken to arrive at the current HRM stage are described in the stages that follow:
1. Labour Welfare Stage: It's possible that industrial disagreements and disputes led to the formal emergence of HRM. Numerous issues regarding the living and working conditions of employees across industries were revealed because of an investigation into the causes of labour disputes and conflicts. This investigation brought to light the shortcomings of companies that viewed employees as machines to boost output and boost profits at cheaper prices. Long hours and difficult working conditions caused workers to organize into unions. The management of the companies opposed these trade unions' efforts to safeguard and advance the rights of the workers, which resulted in disagreements and industrial disputes.
2. Personnel Management Stage: After legislative assurances about labour welfare issues, organizations started concentrating on employees' behavior at all levels on an individual, group, and overall organizational basis. A "Personnel" was chosen to manage the relationship between the employer and the employee by handling matters related to compensation, quality of working life, transfers, promotions, training and development, performance and potential appraisal, compliance with labour laws and legislation, and human resource planning.
3. HRM Stage: Human resource management, or HRM, is a combination of personnel management and labour law. The goal of HRM is to maximize employee performance in line with the goals established by an organization. Globalization, expanding organizations, shifting social and cultural norms, easy access to information, and HRM are all effects of these factors. As a result, it tries to foster a more humane relationship between workers and their employers through employee retention, motivation, training, and development. Additionally, as part of HRM, HR managers must learn about potential changes that might have an impact on the entire organization and incorporate that knowledge. In order to achieve a seamless transfer of changes without upsetting existing relationships and preventing conflicts or disagreements inside an organization, HR managers seek to use pertinent measures.
The Development of Human Resource Management from the Eighteenth Century to the Present HUMAN RESOURCE MANAGEMENT EVOLUTION The cornerstone to an organization's effective operation and survival in the globalized and competitive climate of today is its human resource management. From personnel management, the idea of human resource management has developed. After the Second World War, the term personnel management first appeared in 1945. The personnel managers set themselves apart from other managerial duties at this point, and the personnel function was officially recognized as a separate managing function.
The organizations' 'hire and fire' policy at the time led to criticism of the breadth of the personnel role. Through successive periods of the Industrial Revolution, trade unions, scientific management, behavioral science, and human relations, the concept of HRM has developed. hence, the concept the phrase Personnel Management has gradually been supplanted with HRM. The best term to describe human resources is human resource management (HRM), which emphasizes the value of the people who work for an organization.
The topic at hand is highly commendable. I want to incorporate this region as well.
ReplyDeleteThe term "human resource management" (HRM) is a recent addition to the lexicon of organizational management, denoting the process of overseeing the personnel within an organization. Human Resource Management (HRM) development encompasses various components such as organizational behavior, personnel management, industrial relations, and labor law. The subsequent stages delineate the process undertaken to attain the present state of Human Resource Management.
During the Labour Welfare Stage, it is plausible that the formal emergence of HRM resulted from industrial disagreements and disputes. The investigation into the causes of labor disputes and conflicts has brought to many light concerns about employees' living and working conditions across various industries. This inquiry has revealed the deficiencies of corporations that regarded their workforce as mere instruments to enhance productivity and maximize revenue at reduced costs. The arduous working conditions and extended hours prompted laborers to form unions. Corporate management's opposition to trade unions' endeavors to protect and promote the welfare of laborers led to conflicts and labor-related controversies.
During the Personnel Management Stage, organizations shifted their focus toward the behavior of employees at all levels, including individual, group, and overall organizational behavior, following legislative guarantees regarding labor welfare concerns. An individual designated as "Personnel" has been appointed to oversee the interaction between the employer and the employee. This includes managing various aspects such as compensation, quality of working life, transfers, promotions, training and development, performance and potential appraisal, compliance with labor laws and legislation, and human resource planning.
The HRM stage involves the integration of personnel management and labor law. Human Resource Management (HRM) aims to optimize employee performance in alignment with the goals set forth by an entity. The effects of globalization, expanding organizations, shifting social and cultural norms, easy access to information, and HRM are manifold. Consequently, the objective is to cultivate a more compassionate dynamic between laborers and their supervisors by implementing staff retention, incentivization, instruction, and advancement strategies. Furthermore, within Human Resource Management (HRM) context, HR managers must acquire knowledge regarding potential alterations that could affect the entire organization and integrate such information accordingly. Human resource managers endeavor to employ relevant strategies to facilitate a smooth transition of modifications while avoiding disruption of established relationships and mitigating potential conflicts or disputes within an organization.
This paper examines the evolution of Human Resource Management from the 18th century to the present day. The Evolution of Human Resource Management. Human resource management is crucial for an organization's efficient functioning and sustainability in the contemporary globalized and competitive environment. The concept of human resource management has emerged from the field of personnel management. The term "personnel management" was first introduced in 1945 following the conclusion of the Second World War. At this juncture, personnel managers distinguished themselves from other managerial responsibilities, and the personnel function was formally acknowledged as an independent management function.