Personnel Management Objectives-1

January 13, 2009

Today we continue out talk on personnel management objectives. We have already discussed four objectives in our last post. Today we will discuss other two objectives.


5. To recognise and satisfy individual needs and group goals by offering and adequate and equitable remuneration, economic and social security in the form of monetary disability, death, unemployment etc. With adequate compensation and security, employees work willingly and cooperate to achieve an organisation’s goals.


6. To maintain high morale and better human relations inside an organisation by sustaining and improving the conditions so that employees may stick to their hob for a longer period.


Considering these objectives, you will perhaps, agree that the objectives are in the best interests of all those to whom management is responsible i.e. owners of enterprise, the community, the consumers of its goods and services, and members of the organisation itself, including groups who may belong to unions. In our next post we will discuss that why personnel manager of any organization need to create some conditions and how?


Personnel Management Objectives

January 5, 2009

The objectives of Personnel Management are given below:

1. To achieve an effective utilization of human resources for the achievement of organization goals. Term life insurance rates provider need to manage all his agents in effective way to achievement organization goals.


2. To establish and maintain an adequate organizational structure and a desirable working relationship among all the members of an organization by dividing the organizational tasks into functions, positions, jobs and by defining the responsibility, accountability, authority for each job and its relation with other jobs/personnel in the organization. For example, a blinds company who is selling vertical blinds and roman shades blinds online, for them coordination of different departments is must. Inter company relation and intra company relation management is important part of personnel management.


3. To secure the integration of the individuals and groups with the organization by reconciling individual/group goals with those of an organization in such a manner that the employees feel a sense of involvement, commitment and loyalty towards it. The absence of this integration will allow development of frictions, personal jealousies and rivalries, prejudices, personnel conflicts, cliques, factions, favoritism and nepotism. These will produce inefficiency and result in failure of the organization.


4. To generate maximum development of individuals/groups within an organization by providing opportunities for advancement to employees through training and job education or by offering transfers or by providing retraining facilities. For example, a term life insurance rates providing company, for management they need to keep weekly target for their agents in such a way that term life insurance agents can achieve it easily.

Functions and operations of a personnel office

December 31, 2008

An organization is formed for the fulfillment of certain objectives like earning a desired rate of profit on investment, exploitation of certain natural resources, development of a given geographical area, and supplying to the public some essential goods or services. Machines, materials, money and all other non-human resources are the tools and aids that man uses to achieve his tasks. Thus, a proper selection of men is very much important for management of an organization. For example, Blinds Company who are sending their personnel for installation of roller shades and woven wood shades, need to be a proper person with technical knowledge as well as as individual too. 


However this is the most difficult of all the management tasks in an organization. Some people also say that ‘management’ means ‘managing managing men tactfully’. One often comes into contact with the personnel department of one’s office, for example, for selection, placement, training, discipline, grievance handling, wage administration, dismissal, etc. However, there are certain aspects of the work of a personnel department which may not be very obvious. When a company is doing term life insurance business online or when they have paperless officer, personal management may not be very obvious.


CHARACTERISTICS OF PERSONNEL MANAGEMENTPersonnel Management is known by various names. These are Personnel Administration, Labor Management, Industrial Relations, Employee Relations, Manpower Management, etc. The manager who performs this function is also, likewise, called by various names, like Personnel Manager, Employee Relations Manager, Industrial Relations Manager, Labour Relations Manager, Labour Officer, Labour Welfare Officer, Welfare Officer, Personnel Officer, Employee Relations Officer, and Industrial Relations Officer.

Human Resource Systems

December 30, 2008

If organization has got systems to punish but not to reward people, the former too become defunct over a period of time because a manager who does not have the power to reward forfeits his right to punish, at least in course of time.


Organizations vary in regard to the degree to which they provide careers to their employees, encourage participation, promote from within and orient their systems toward collective, group based performance. Many will have a mixture of the two choices mentioned above. In some cases, the system is a matter of choice and is meant to support a cultural orientation towards a cooperative rather than competitive climate. But most organizations covered by Peter and Waterman (included in Fortune USA 500 companies) seem to stress on “challenging and meaningful work” with stress on participation, upward mobility and group performance. In the Indian context social compatibility becomes a relevant issue.


We should also be careful in generalizing and in being prescriptive. For example, the concept of life-long employment and preference to employees’ children in employment which seem to work well in the case of Tata Steel proved to be disastrous in those of some other companies. Hence the need to be wary about the organizational context regarding strategic choices in human resource systems.

Formal Structure and Human Resource Systems

December 26, 2008

Organizations operate in an ever changing environment. Hence there is need for changing assumptions about organization structures also. Modern organizations involving high technology and educated workforce require relatively flat and not pyramidical structures. There is need for evolving new approaches and strategies in manpower and career planning systems and building them into organization planning. This is a major challenge and opportunity for personnel in the changing organizational context. Even online business companies dealing with blinds, roller shades, woven wood shades needs to have human resources systems.


Human Resource Systems

People are recruited and developed to do jobs defined by the organization’s formal structure; their performance must be monitored and rewards allocated to maintain productivity.


An analysis of the human resource system of large companies should yield information about what assumptions the designers of those systems hold about people. Are they people of McGregor’s Theory X type or Maslow’s self-motivators seeking self-actualization? There may be problems in articulating an individual manager’s beliefs, but one can deduce the real beliefs from the control systems they use. And since they are usually designed on an ad hoc piece-meal basis, one can find many incongruities and incompatibilities. For term life insurance agency also need to have human resource systems to manage their life insurance agents. If and organization has got systems to punish but not to reward people, the former too become defunct over a period of time because a manager who does not have the power to reward forfeits his right to punish, at least in course of time.

Formal Structure

December 24, 2008

People and tasks are organized to implement the organization’s strategy. The organization’s formal structure includes its systems of financial and operating control systems. The number of levels between the operator at the lowest rung and the chief executive at the highest rung in the hierarchy has increased from 5 to 15 in the last fifteen years or so. We have more people at the middle level to supervise and get work done than those who do the work. Mangers by themselves do not produce. Promotion policies designed to make individual aspirations are causing more problems in achieving organizational purposes.


Organizations need three levels: operating, managerial and strategic. At the operational level, the day-to-day management of the organization is carried out. The managerial level focuses on the processes by which the organization obtains and allocates the resources needed to carry out its strategy and objectives. The strategic level deals with policy formulation and overall goal setting; its objective is to position the organization in the best possible way to deal effectively with its environment. The three levels do not operate in a top-down system, but provide feedback loops for upward communication.


As mentioned above, in most Indian organizations the levels of managerial activity have been increased largely to accommodate the aspirations for promotions that individual employees have. In the process, employees are promoted, jobs are downgraded and responsibility is blurred.

Strategy and Planning

December 17, 2008

We will continue our talk on some standards for Strategy and Planning for organization. Personnel should use information about their performance to gain recognition and acceptance. Numbers are important because words are imprecise. The role of personnel in strategic planning would be substantial if a personnel manager’s results guide has some of the following examples as performance standards:

  1. Employee costs per unit of production service shall be held at…..(base year) and indexed to……… as a percentage of fixed and semi-variable expenses.
  2. At least 66.6% of increased cost of improvements in the Long-term Agreement shall be met through improvement in employee productivity.
  3. During the next….years, these shall be a reduction of……..% in down time of plant and machinery………..% in the avoidable waste of materials and……..% in absenteeism beyond authorized leave.
  4. Ensure that 33.3% of saving arising out of the three factors above will be distributed to ensure improvement in the individual employee’s earnings. For example, when we plan to renovate house, we need to plan which type of blinds we are going to use, woven wood shades blinds or roller shades blinds or wood blinds only.
  5. An individual employee must move up ………grades in his work span of…….years through careful manpower and succession planning.
  6. At least 25% of vacancies in the managerial cadre shall be filled from amongst the lower job holders through appropriate training and development programmes.