Many texts and dictionaries mistakenly define ‘human resources’ as the people employed in an organization, a notion that obscures the meaning of human resources and that critics see as impugning the dignity and denying the independence of human agents. Human resources are more accurately understood as the resources that are intrinsic to human beings, which they can apply to the various tasks of life.
Pause for thought
What do you think of the term human resources?
The chapter starts with a general discussion of the meaning of HRM and the issues involved in its practice, and continues with analyses of the meaning and development of HRM and reviews of HRM philosophy, goals and standards. The various models of HRM and its underpinning theories are then considered. The concept of HRM has sometimes been controversial and different perspectives about what it stands for and what it means are then examined. Next, the chapter contains a description of how an HR system within the framework of the HR architecture delivers HRM. It concludes with a discussion of the present state of HRM and its future in the form of a philosophy of people management.
HRM: meaning and issues
It is possible to produce a definition of HRM as set out below. But it is necessary to look more deeply into the meaning of HRM. This involves considering the issues concerned with the tension that can exist between the fundamental requirement on the one hand to help the organization to achieve its aims as a business or a public or voluntary sector body, and the need on the other hand to respect and promote the interests of the people working in the organization.
HRM defined
HRM was defined by Boxall and Purcell (2003: 1) as ‘all those activities associated with the management of employment relationships in the firm’. Boxall (2007: 13) noted that: ‘Human resources include the knowledge, skills, networks and energies of people and, underpinning them, their physical and emotional health, intellectual capabilities, personalities and motivations.’
Words of wisdom
Human resource management (HRM), the management of work and people towards desired ends, is a fundamental activity in any organization in which human beings are employed. It is not something whose existence needs to be radically justified: HRM is an inevitable consequence of starting and growing an organization. While there are myriad variations in the ideologies, styles and managerial resources engaged, HRM happens in some form or other. It is one thing to question the relative performance of particular models of HRM... It is quite another thing to question the necessity of the HRM process itself, as if organizations cannot survive or grow without making a reasonable attempt at organizing work and managing people.
Boxall et al (2007: 1)
HRM issues
The following fundamental issue facing HRM was raised by Chamorro-Premuzic.
Words of wisdom
All organizations have problems, and they nearly always concern people. How to manage them; whom to hire, fire or promote; and how to motivate, develop and retain them.
Chamorro-Premuzic (2017: xiii)
However, HRM is not simply there to solve problems. It can be regarded as a philosophy about the ways in which people are managed at work that is underpinned by a number of theories relating to the behaviour of people and organizations. HRM aims to improve organizational effectiveness through people but it should also be concerned with the ethical dimension – how people should be treated in accordance with a set of moral values. An important point was made by Schneider.
Words of wisdom
Positive job attitudes for workers in an organization can be expected when the natural inclinations of the persons there are allowed to be reflected in their behaviours by the kinds of processes and structures that have evolved there.
Schneider (1987: 450)
However, as Keegan and Francis (2010: 873) noted, HR work is now ‘largely framed as a business issue’. The emphasis is on business alignment and strategic fit. These are important requirements but focusing on them can lead HR professionals to place insufficient emphasis on employee wellbeing when developing HR policy and practice.
A simplistic view of the business imperative – the often-expressed belief that the most important thing HR professionals should know about is ‘how the business makes money’ – permits little room for considering the rights and needs of employees as well as the other stakeholders. HRM should indeed aim to support the achievement of business goals but it should also aim to build relationships with the people employed in the organization based on fair dealing, trust, openness and personal fulfilment. A basis for doing this is provided by the concept of the employee experience as discussed in Chapter 30.
Words of wisdom
A regime which provides human beings with no deep reason to care about one another cannot long preserve its legitimacy.
Sennett (1998: 1)
Pause for thought
Is there an inevitable tension between the need for HRM to further the business success of the organization and the need to be concerned with the wellbeing of the people working in the organization? If there is, how can it be resolved...