Unit 1 of 4 · B.Com Sem 3

Unit 1: Introduction to HRM & human resource planning

Human Resource Management notes · PTU syllabus (BCOM 303-18)

3 min read4 topics8 exam questions
On this page
  1. Unit summary
  2. Nature, scope, role and importance of HRM
  3. New trends in HRM
  4. HRM practices in India
  5. Human resource planning (HRP)
  6. Key terms
  7. Quick revision
  8. Important questions

Unit summary

People are an organisation's most important resource. Human resource management (HRM) acquires, develops, motivates and retains them. This unit covers the nature, scope, role and importance of HRM, new trends from globalisation, deregulation and technology, HRM practices in India, and human resource planning.

After this unit you can

  • Explain the nature, scope and importance of HRM
  • Describe new trends in HRM
  • Discuss HRM practices in India
  • Explain the factors affecting HRP and the HRP process

PTU syllabus topics

  • Nature
  • scope
  • role and importance of HRM
  • new trends from globalisation
  • deregulation and technology
  • HRM practices in India
  • factors affecting human resource planning
  • the HRP process
ProcessHuman resource planning process
  1. 1Analyse objectives

    What the business needs

  2. 2Forecast demand

    How many people, with what skills

  3. 3Forecast supply

    Internal and external availability

  4. 4Identify the gap

    Surplus or shortage

  5. 5Action plan

    Recruit, train, redeploy

1

Topic 1

Nature, scope, role and importance of HRM

Human resource management is the process of acquiring, training, appraising and compensating employees and attending to their labour relations, health, safety and fairness (Dessler). Nature: people-oriented, pervasive, continuous, development-oriented and both a line and staff function.

ClassificationScope of HRM
HRM
  • Procurement

    HR planning, recruitment, selection, induction

  • Development

    Training, career planning

  • Compensation

    Wages, incentives, benefits

  • Maintenance

    Health, safety, welfare

  • Integration and relations

    Motivation, grievances, industrial relations

  • Separation

    Retirement, exit

Role of the HR manager: advisory, service, strategic partner, change agent and employee champion.

2

Topic 2

New trends in HRM

  • Globalisation: managing diverse, cross-cultural and international workforces.
  • Deregulation and liberalisation: competition demands productivity and flexibility.
  • Technology: HRIS, e-recruitment, AI in hiring, HR analytics, remote and hybrid work.
  • Others: talent management, employee engagement and well-being, gig and contract workers, diversity and inclusion, and strategic HRM linking people to business goals.
3

Topic 3

HRM practices in India

Indian HRM has moved from personnel administration (labour welfare and compliance) to strategic HRM. Large Indian firms (Tata, Infosys, HUL) use competency mapping, performance-linked pay, ESOPs and leadership development. Challenges include labour law compliance, a large informal workforce, skill gaps and attrition in IT and services.

4

Topic 4

Human resource planning (HRP)

HRP is the process of forecasting an organisation's future demand for and supply of the right type of people, in the right number, at the right time.

ProcessThe HRP process
  1. 1

    Analyse organisational plans and objectives

  2. 2

    Forecast demand for HR

    Workload analysis, trend analysis, managerial judgement

  3. 3

    Forecast supply of HR

    Internal (skills inventory, succession) and external

  4. 4

    Estimate the gap

    Shortage or surplus

  5. 5

    Action plans

    Recruitment, training, redeployment, downsizing

  6. 6

    Monitor and control

Factors affecting HRP: type and strategy of the organisation, environmental uncertainties, time horizon, nature of jobs, outsourcing and the quality of information.

Key terms

HRM
Managing people to achieve organisational goals
HRP
Forecasting HR demand and supply and matching them
HRIS
Human resource information system
Strategic HRM
Aligning HR with business strategy
Skills inventory
A record of employees' skills and qualifications

Quick revision

  • Scope: procurement, development, compensation, maintenance, integration, separation.
  • Trends: globalisation, technology, analytics, engagement, diversity.
  • HRP: objectives → demand → supply → gap → action → control.

Important exam questions

Practice questions written to the PTU exam pattern for this unit's syllabus: short answers (Section A style) and long answers (Sections B and C style).

Short-answer questions

  1. Q1.Define HRM.
  2. Q2.List four functions of HRM.
  3. Q3.What is HRIS?
  4. Q4.Define human resource planning.
  5. Q5.List three factors affecting HRP.

Long-answer questions

  1. Q1.Explain the nature, scope and importance of HRM.
  2. Q2.Discuss new trends in HRM in the context of globalisation and technology.
  3. Q3.Explain the process of human resource planning.

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