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functions of hrm

functions of hrm ( human resource management )

functions of hrm
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The functions of hrm refer to tasks performed is an organization to provide for and coordinate human resources.

It’s functions are broadly classified into three categories..

1.Managerial Functions.

2.Operative Functions.

3.Emerging Functions.

functions of hrm
This Image is about Managerial Functions

1.Managerial Functions.

Managerial functions of hrm is basically concerned with the process of allocating an organization’s input by planning, organizing, directing, and controlling for the purpose of producing outputs desired by its customers so that organization objectives are accompanied.

Thus managerial functions involve planning, organizing, directing and controlling which also influences the operative functions of HRM.

  • Planning : Planning is an all pervasive and important function of hrm. It involves formulating the future course of action; therefore, it is considered a rational approach to the future.

It includes determining in advance the personal programs and changes required that would contribute to the achievement of organizational goals.

  • Organizing: organizing involves establishing  a proper structure of roles for people in an organization and establishment of relationship among employees so that they can contribute collectively towards the attainment of an organization’s goals.

To meet this end, it is very necessary to take into account the structural

  • Directing: Directing is an important function which helps in building sound industrial and Human relations and in ensuring employee contribution.

It is the process of directing all available resources towards the comman organizational goals by tapping the maximum potentialities of the people.

It also involves coordination between departments to ensure maximum utilization of all resources including human resources.

  • Controlling : In order to know that personnel functions are being performed in conformity with pre-determined plans or not, controlling function needs to be exercised by the manager.

This helps to measure performance against goals and plans, helps to identify deviations if any and taking remedial measures.

Thus, action and operations are adjusted to pre-determined plans and standards through control.

functions of hrm
This Image is about Operative Functions

2.Operative Functions.

The operative functions of HRM are related to specific activities of HRM viz. Employment, development, compensation, and employee relations.

These functions must be performed in conjunction with the managerial functions.

They are also known as service functions and are as follows.

  • Employment : This involves procuring, securing and employing the people with suitable knowledge, skills, experience and aptitude necessary to perform various job and at the same time to achieve the organizational goals.

This function specifically deals with areas like-

  • Job analysis
  • Human resource planning
  • Recruitment
  • Selection
  • Placement
  • Induction
  • Follow-up
  • Transfers
  • Lay-offs


  • Human Resource Development : It is the process of improving moulding, changing and developing the skills, knowledge, creative, ability, values, commitment etc. of the employees so as to help them to perform their jobs better.

For this purpose, it involves-

  • Performance appraisal.
  • Training.
  • Management development.
  • Career planning and development.


  • Compensation : It includes all the intrinsic rewards that an employee receives during and after the course of his job for his contributions and commitment to the organization.

The principles of compensation payment are that it has to be adequate, equitable and fair to the employees.

Under this category, functions related to-

  • Wage and salary administration
  • Job classification
  • Job description
  • Job analysis
  • Fringe benefits
  • Profit-sharing plans
  • Other incentives are dealt with.


  • Integration : Effectiveness of an organization can be measured in terms of the degree to which it is able to integrate it’s fresh employees into common culture.

Integration does not merely means absorbing the employees rather it is the dynamic interaction whereby the people get absorbed in the organization physically, emotionally and mentally.

This function indicates-

  • Grievance redressal
  • Building team work
  • Collective bargaining
  • Employee participation and empowerment
  • Industrial relations
  • Maintaining discipline


  • Maintenance Function : It deals with sustaining and improving the work environment in the organization.

This function includes:

  • Health and safety
  • Employee welfare schemes
  • Social security measures
functions of hrm
This Image is about Emerging Functions

3.Emerging functions:

1.Maintaining Personnel Records : Personnel records such as papers, files, cards, cassettes and films are maintained to have tangible Record of what is actually happening in an organization and to formulate appropriate HR policies and programmes ( based on historical records, actual experience and future trends ) from time to time .

2.Conducting Human Resource Audit: Human Resources Audit refers to an examination and evaluation of personnel policies, procedures and practices to determine the effectiveness of personnel programmes and practices and determines what should or should not be done in future.

3.Human Resource Research : It is process of evaluating the effectiveness of human resource policies and practices and developing more appropriate ones.

  1. The main objective of this research is to measure and evaluate the existing conditions and to predict future course of action.

4.Human Resource Accounting :

It is measurement of the cost and value of human resources to the organization.t he functions of Human resource management is said to be effective if its value and contribution is any organization is more than its cost.

5.Resource Information System (HRIS) : HRIS is an integrated system designed to improve the efficiency with which HR data is complied.

  1. It makes HR records more useful to the management by serving as a source of information.
    Human resource require this information for decision making.

6.Stress Management and Counseling : Stress is psychological and physical reaction to creation life events or situations.
At an organizational level, stress results in burn out, depression, reduced job satisfaction, increased absenteeism and increased turnover.
Companies, therefore, are closely looking at what should be done to promote the physical and mental well being of employees through proper counseling and stress management programmes.

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