Human Resource

Unit-1

Human Resource Development

HRD can be defined as organized learning activities arranged within an

organization in order to improve performance and/or personal growth for the
purpose of improving the job, the individual, and/or the organization.

HRD concept was first introduced by Leonard Nadler in 1969 in a conference in

US. “He defined HRD as those learning experience which are organized, for a
specific time, and designed to bring about the possibility of behavioral change”.

Concept of Human Resource Development

Human resource development in the organization context is a process by which the

employees of an organization are helped, in a continuous and planned way to:

1. Acquire or sharpen capabilities required to perform various functions associated

with their present or expected future roles;
2. Develop their general capabilities as individuals and discover and exploit their
own inner potentials for their own and/or organizational development purposes;
and
3. Develop an organizational culture in which supervisor-subordinate relationships,
teamwork and collaboration among sub-units are strong and contribute to the
professional well being, motivation and pride of employees.

This definition of HRD is limited to the organizational context. In the context of a

state or nation it would differ.

HRD is a process, not merely a set of mechanisms and techniques. The

mechanisms and techniques such as performance appraisal, counseling, training,
and organization development interventions are used to initiate, facilitate, and
promote this process in a continuous way. Because the process has no limit, the
mechanisms may need to be examined periodically to see whether they are
promoting or hindering the process. Organizations can facilitate this process of
development by planning for it, by allocating organizational resources for the
purpose, and by exemplifying an HRD philosophy that values human beings and
promotes their development.

Need of Human Resource Development:

In the fast moving business world of today, organizations are evolving. The role of
manager has become more diverse. Radical changes are taking place because of
economic pressure and the demand for enhancing efficiency and productivity.
Growth of information technology facilitated tasks to be completed within seconds
than in days. To keep pace with such an environment, organizations must develop
its people and allow them to grow. HRD must therefore be viewed as total system
interacting with other systems of the organization. The employee’s capabilities
need to be sharpened. This is possible through HRD.

The need for HRD arises because:

(1) To create a climate free from monotony and to improve the working life,

(2) To facilitate effective communication to surface creative ability of employees

in full swing,

(3) To enable the members to attain self actualization through systematically

developing their potentials,

(4) Tapping the present and future creative abilities of the people to utilize for
organizational development,

(5) Facilitating growth of employees and making them aware about their strengths
and weaknesses,

(6) Helping organizations to utilize human resources to their maximum potentials,

(7) Availing opportunities for further development by the employees themselves.

Goals of HRD

1. Resource planning: Having the right person for the job at the right time is
crucial for any organization. Resource planning is the process to ensure that.

2. Recruitment and selection: Recruitment and selection processes are there

to ensure that we get the right talent along with the right attitude. Well, there
is no right or wrong attitude in general. By the right attitude here, we mean,
the attitude which matches with company’s work culture.

3. Training and development: This is for retaining the employees while

enhancing their skill set to benefit both, the organization and the employee.
A trained workforce translates into better productivity thus more profit.

4. Performance appraisal: This is a feedback process. Employee’s

performance is evaluated on the basis of different factors and he/she is
provided with the feedback along with the suggestions for improvements. If
someone does not improve with time, the organization may fire him/her.

5. Remuneration: This is a process of making sure if the employees are

getting paid well. By paid well, we mean they are getting their salary and
wages according to industry standards. Also, this process keeps a check if
the given amount is being justified in the performance of the employee or
not. If the performance is on a higher side, additional perks may be allocated
while for lower side performances, there may be some deductions.

6. Motivation: Motivation is again a crucial factor when it comes to managing

humans. We often tend to lose track and need some external push. This is
the process to ensure that the external push is given on time and in a proper
way.
Challenges of HRD

1) Rapid Changes in Technology

2) Transnational (from different countries/nations) suppliers and customers

3) Fierce (aggressive) competition

4) Innovation for survival

5) World Class Quality demand of customers

6) Mergers, Takeovers and Acquisition

7) High product differentiation achieved by very low manufacturing costs

8) Extremely short lifecycles of products/services

9) Quicker response to market.

Relation between HRM and HRD

Human Resource Management (HRM) and Human Resource Development (HRD)

are two different concepts, but they are related to each other. HRM is a branch of
management that is concerned with making the best possible use of the enterprise’s
human resources by providing better working conditions to the employees. It
involves those activities that arrange and coordinate the human resources of an
entity. Further, it aims at maintaining good relations at various levels of
management. On the other hand, HRD is a wing of HRM that focuses on the
growth and development part of the organization’s manpower. HRD is dedicated
specifically to developing the skills and capabilities of employees, either formally
through training and education, or more casually through coaching and mentorship
efforts

(in simple words HRD is dependent on HRM {it means if there is a HR department
then only employees get proper HRD/skills support etc}, but HRM is independent
{it doesn’t require HRD’s support as HRM is the basic step, after that HRD is
done}.
HRM VS HRD

BASIS FOR HRM HRD

COMPARISON
Meaning Human Resource Human Resource
Management refers to the Development means a
application of principles continuous development
of management to manage function that intends to
the people working in the improve the performance of
organization. people working in the
organization.
What is it? Management function. Subset of Human Resource
Management.
Function Reactive Proactive
Objective To improve the To develop the skills,
performance of the knowledge and competency
employees. of employees.
Process Routine Ongoing
Dependency Independent It is a subsystem
Concerned with People only Development of the entire
organization.