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Managerial and Operative Functions of Personnel Management

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Importance of Personnel Management

Every organisation hires, pays, maintains and separates its employees. This means every organisation - big or small in some or other forms performs certain personnel functions. In the past, owners of organisation did not pay much attention toward this issue for various reasons like disorganised labor market. lack of human consideration, exploitative tendency etc. Since then a great upheaval occurred marking the arrival of modem age, which experienced revolutionary change in almost all walks of life. The development need, rise of trade union movement, socialistic pattern of society, human relation movement and welfare state concept emphasised the need for greater and scientific attention toward personnel functions. Consequently, organisations started making use of the knowledge of personnel management for effective utilisation of human resources. Result of the use of the knowledge was so encouraging that other enterprises followed the suit. The role and importance of personnel management for any organised venture can be explained in the following way.

Personnel Management aims at abstaining and maintaining capable and effective work force, motivating employees individually and in groups to contribute their maximum to the fulfillment of organisational goals while advancing towards their own individual and group goals and integrating them with organisation in such a manner that the employees and their groups feel a sense of involvement with the organisation.

In fact, the personnel functions differ from concern to concern, but certain broad functions applicable to all. Organisations can be listed . However,These function can he broadly grouped under two heads as Managerial Functions ,and Operative functions


Mangerial Functions

a) Planning

Planning is regard to the human resource function involves deliberate determination
of objectives, planning of human resource requirements, recruitment, selection, training
etc. It also involves forecasting of personnel needs, changing values, attitudes and behavior of employees and their impact of organisation

b) Organising

Organising function is a process by which group of human brings allocates its tasks among its members identifies relationships and integrates its functions towards the achievement of common goal. It calls for designing the structure of relationship among jobs through delegation of authority, communication and accountability, manpower planning, managing job positions and providing physical facilities. Thus organising establishes relationships among the employees so that they can collectively contribute to the attainment of the organisational goals.

c) Directing

Directing as a managerial function involves building sound industrial and human relations among people working in the personnel area of organisation. It includes leading motivating, communicating, guiding and reorienting personnel job for their better performance towards accomplishing organisational objectives. The personnel manager has to coordinate various managers different levels as for as personnel functions are concerned.


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Controlling function is concerned with regulating activities in accordance with the personnel plans in respect of operating goals. It includes checking, verifying and comparing actuals with the plans, identifying deviations if any and correcting them. Thus operations are adjusted to predetermined plans and standard through taking corrective measures. Auditing, training programmers, analysing, labor turnover records, directing morale surveys, conducting separate interviews are some of the means for controlling the personnel management function.

Operative Functions

(1) Procurement

Procurement is concerned with the obtaining of the proper quality and quantity of personnel necessary it. accomplish objectives and functions of an organisation. It also includes the determination if human resources requirements and their recruitment, selection and placement.

(2) Development

Development deals with increasing the skill and competence of those personnel through training and other programs. Management development is future oriented and concerned with education. These activities attempt to instill sound reasoning process-to enhance one's ability to understand and interpret knowledge - rather than imparting a body of facts or teaching a specific set of motor skills. Development, therefore focuses more on the employee's personal growth

(3) Compensation

Compensation provides for their adequate and equitable remuneration in order to secure their best contribution to the achievement of the organisation's objectives. Fixation of compensation or wage rates for different categories of employees in a cooperative society is an important task of management. The employees are not only concerned with wages received but also concerned with the level of wages received by same level of employees in similar societies. Hence wage structure may be considered very important. The relative wage rules should be fixed carefully, because they have implications for promotion, transfer, seniority and other important personnel matters.

(4) Integration

The basic objective of manpower management is to secure maximum performance from the employees willingly to accomplish the objectives of an organisation. This is possible through better integration between the organisation and its employees. An effective integration between the two is the function of three things-motivation, leadership and communication. In recent years the human relation exponents have revolutionised the ways and means of dealings with employees and organisations have become innovative in seeking effective integration of employees for greater performance and productivity. Hence, managerial job has become more complicated and challenging.

(5) Maintenance

It refers to maintaining the abilities and attitudes already created and improving the conditions established through health safety, welfare and benefit programs.

(6) Human relations

Human relation with the management denote the collective relationship between management and employees in a cooperative society. It means absence of disputes between the two parties and the existence of understanding . Benefits arrived at from good human relations are the economic progress of a country, maintaining their cooperative democracy, formulation of informal personal policies, encourage collective bargaining, help government in making laws for broadly unfair practices of unions and employers, rightful recognition of trade unions that will boost the discipline and morale of workers.

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