REPORT ON THE MANAGEMENT OF PEOPLE - HRM OR PERSONNEL?.
During the past 20 years many organisations have evolved and changed the way in which they manage their workforce. The past 2 decades have seen a shift in many organisations from the traditional Personnel Department', to the principals of the more recently formed Human Resource Management' function. It has been requested that Lesley Stewart submit a report to the HRM tutor, Pam Cogley at Wigan and Leigh College, based on the historical development of Human Resource Management whilst identifying the roles and purposes of the function. The differences between Personnel Management and Human Resource Management should be identified and the evidence found should be analysed against a familiar Company. A section is also to be included on current and potential factors of which all HRM Personnel Managers should be aware of.
2. METHODS OF INVESTIGATION.
2.1 United Utilities Plc Human Resource department was investigated.
2.2 DTI Employment Relations policies were examined.
2.3 Wigan & Leigh College literature was studied.
3. DIFFERENCES BETWEEN HRM AND PERSONNEL MANAGEMENT.
The Personnel department has a more people centred approach, it is seen as being reactive instead of proactive, focusing on the short term view of the organisation and dealing more with the rights and values of the employees and the terms and conditions of employment. Personnel Management looks at the Utilisation, Motivation and Protection' of people at work.
The Human Resource Management department is proactive and has a more strategic approach to the Organisation. It looks at the bigger picture, with people being managed more effectively and in such a way that key organisational objectives are achieved with the right skill and knowledge. By looking at the broader scale, HRM can utilise skill and provide development opportunities to staff in order to help lower cost and enhance other qualities and activities within the Organisation.