Ð An effective and streamlined cost administration system, which would encompass a resulting reduction in personnel management, costs with minimal negative effects on employee competency. In essence companies with active and effectual Human Resource strategies that are in alignment with the overall strategic objectives of the business should achieve dynamic cost leadership strategies in comparison with others companies in their global and or national arenas.

Human resource management like many other positions in our constant changing working environment is evolving. My working environment is in transition from personnel management to human resource management. Human resources management brings the human side of the business in the light. Personnel management assists with the management of people in an organization. Personnel manager approach has more emphasis on the functional side of the organization. Human resource has more emphasis on the strategic side of the business. McGregor[2] in his Theory X – Theory Y, argued that if managers treat their employees good then the benefit of their treatment will show in their work. Both sides – managers and employees will benefit.

As a result, the personnel function has a tendency to be detached from the people management process and the overall organizational strategy. There is often no thought or planning given to higher level organizational issues such as career path, benchmarking and strategic planning.

In my opinion personnel management i

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