Chapter:1 :-HRD Concept

Concept of Human Resource Development –

Human resource development (HRD) is the systematic and
planned practice designed by an organization to enhance
employee knowledge skills and attitudes . Human resource
development is concerned with the development and
implementation of people strategies, which are integrated
with corporate strategies, and ensures that the culture,
values and structure of the organization, and the quality,
motivation and commitment of its members contribute fully
to the achievement of its goals.
HRD is a set of systematic and planned activities designed
by an organization to provide its members with the
necessary skills to meet current and future job demands.
HRD is the process of increasing knowledge, skills,
capabilities and positive work attitude and value of all
people working at all levels in an organization. It constitutes
the logical outcome of the argument than an organization’s
employees are its most valuable resource.
“The essence of Human Resource Management is that
employees are valued assets and that their value should be
increased by a systematic and coherent approach to
investing in their training and development. Resourcing is
about providing the skills base needed by the organization.
Human Resource Development is about enhancing and
widening these skills by training, by helping people to grow
within the organization, and by enabling them to make
better use of their skills and abilities”.

Definitions of HR:-HRD is the integrated use of training

and development, career development, and organisational
development to improve individual and organisational
effectiveness

Why is Human Resource Development So Important

Now?
Tom Senge (1997) claimed there were three major
driving forces to which organizations now had to
respond:
(i) Technology.
(ii) Globalization of business,
(iii) Systems breakdown and control.
Human Resource Development (HRD) – Nature
1. Learning:
The essence of HRD is learning. The very purpose of HRD is
to make the employees acquire knowledge, learn newer
concepts and develop their skills. The core of HRD is to
enhance the quality of workforce by creating an environment
which fosters constant learning.

2. Career Development:
HRD helps in the career development of individuals by
matching employee characteristics with job requirements.
Growth of the organization is achieved through growth and
development of individual employee.

3. Specific Duration:
Any particular HRD programme would have a specific
duration. It could be for a short, medium or long duration.

4. Improves Performance:
The performance of employees is improved as a result of
HRD. The training programmes enhance the capabilities of
employees and improve their productivity.

5. Organizational Development:
HRD aims at not just the development of the human
resources, but at the progress of the organization as a
whole. Positive changes in work culture, processes and
organizational structure are made.
6. Long-Term Benefits:
HRD is a very future oriented concept. The results of HRD
can be experienced only after some time following its
implementation. But it benefits the employee and the
organization for a long time in the future.

7. Continuous Process:
HRD is a continuous process. Different HRD programmes
are to be implemented in the organization according to
changes in the work environment. Human behaviour needs
to be monitored regularly to enable them to adjust
themselves according to environment dynamics.
8. Employee Welfare:
The organization attempts to provide all the facilities which
are vital for the physical and mental well-being of the
employees to facilitate HRD. Measures like canteen
facilities, crèche, medical insurance, etc. are provided as
part of employee welfare.

9. Development of Team Spirit:

HRD creates a healthy work environment which helps to
build team spirit and coordination among various groups and
the department. Team spirit is necessary for fostering loyalty
and belongingness among employees.
The Evolution of HR Audits:
Evolution is a process of change. In recent years we have seen a significant change in
the human resources auditing process, in the value derived from HR auditing, and in
the tools that companies are using to audit HR.
HR audits is process that is an integral part of the organization’s internal
controls, due diligence, and risk management function. HR audits are a
fundamental activity of strategic and operational management and use
sophisticated auditing products and consulting services. Increasingly, HR
audits are conducted of HR, rather than by HR.

External and Internal Forces

Numerous external forces and factors have had an impact on the demand for and
scope of HR audits. First, in the global economy, human capital is becoming the
single most important determinant of competitiveness, productivity, sustainability,
and profitability. Increasingly, the organization’s human capital is being recognized as
the source of innovation and a driver of business success. Thus, to be effective in the
global economy, HR audits must be diagnostic, predictive, and action-oriented.

HRM HRD

Human Resource Management relates to

the application of principles of Human Resource Development means a continual development funct

management to manage the people of people working in the organization.

working in the organization.

Objective

To enhance the performance of the

To create the skills, knowledge, and competency of employees.
employees.

What is it?

It is a Staffing function of the organization. The development and management of company resources.

Includes

It includes compensation and benefits, It includes organizational development, performance management, t

recruiting and staffing, employee and labor

relations, occupational health and safety.

Function

Reactive Proactive

Dependency

Independent It is a subsystem.

Process

Routine Ongoing

Concerned With

People only Development of the entire organization.

What is HRM?

Human Resource Management or HRM defined as a part of

management that relates to the management of employees
in a way that they can provide the best results to an
enterprise. Various management principles are applied
through HRM to make employees work efficiently and
effectively in any organization. It improves the performance
and productivity of a company by assessing the best use of
human resources. Overall, HRM termed as the art of putting
the right human resource to the right job to provide the
maximum possible use of an organization’s workforce. In
general, human resource management concerned with hiring,
motivating and maintaining workforce within businesses.
Examples of core qualities of HR management are extensive
knowledge of the industry, leadership, and effective
negotiation skills. It is formerly called personnel
management. The main activities of HRD directed towards
career development, key employee identification, training &
development, talent management, succession planning,
performance management, coaching and mentoring, etc. The
HRD department in most organizations, worldwide, work
towards the development of employees right from their date
of joining to termination or retirement. In the majority of
organizations, agencies, and businesses, the human
resources department is accountable for:

What is HRM?

Human Resource Management or HRM defined as a part of

management that relates to the management of employees
in a way that they can provide the best results to an
enterprise. Various management principles are applied
through HRM to make employees work efficiently and
effectively in any organization. It improves the performance
and productivity of a company by assessing the best use of
human resources. Overall, HRM termed as the art of putting
the right human resource to the right job to provide the
maximum possible use of an organization’s workforce. In
general, human resource management concerned with hiring,
motivating and maintaining workforce within businesses.
Examples of core qualities of HR management are extensive
knowledge of the industry, leadership, and effective
negotiation skills. It is formerly called personnel
management. The main activities of HRD directed towards
career development, key employee identification, training &
development, talent management, succession planning,
performance management, coaching and mentoring, etc. The
HRD department in most organizations, worldwide, work
towards the development of employees right from their date
of joining to termination or retirement. In the majority of
organizations, agencies, and businesses, the human
resources department is accountable for

 Directing job recruitment, selection, and promotion

 Growing and overseeing employee benefits and wellness
programs
 Developing, furthers, and enforcing personnel policies
  Promoting employee career development and job
training
 Providing orientation programs for new hires
 Guiding disciplinary actions
 Serving as the primary contact for work-site injuries or
accidents

What is HRD?

Human resources development (HRD) relates to the immense

field of training and development provided by organizations
to enhance the knowledge, skills, education, and abilities of
their employees. In several organizations, the human
resources development process starts upon the hiring of a
new employee and continues throughout that employee’s
occupancy with the organization. Many employees enter an
organization with only a basic level of skills and experience
and must receive training to do their jobs efficiently. Others
may already have the required skills to do the job, but don’t
know relevant to that particular organization. HR
development is intended to give employees the information
they need to adjust to that organization’s culture and to do
their jobs effectively. HRD has the same objective: to make
better employees. HR development aims to provide the
‘coaching’ needed to strengthen and grow the knowledge,
skills, and abilities that an employee already has. The goal of
development and training is to make employees even better
at what they do. Human resources development generally
begins as soon as an employee is hired and continues
throughout that employee’s tenure with the organization.
HRD acts on different forms, including;

 On-the-job training or job shadowing

 Textbook or online education
 Growth opportunities
 Compliance training

Key Differences
 1. HRM (Human Resource Management) refers to the
application of principles of management to manage the
people working in the organization. HRD (Human
Resource Development) means a continuous
development function that intends to improve the
performance of people working in the organization.
2. HRM is a reactant management function while HRD
stands for proactive functions that are a subset of HRM.
3. HRM is a responsive function as it attempts to fulfill the
demands that arise whereas HRD is a proactive function,
that gathers the changing demands of the human
resource in the organization and anticipates it.
4. The basic goal of HRM is to improve the capability of
employees. In contrast to HRD, which goals at
developing the ability, knowledge, and competency of
workers and the entire organization.
5. HRM is a usual process and duty of administration. On
the other hand, HRD is a continuous process.
6. Human Resource Management is involved with people
only. Unlike Human Resource Development, that
emphasis on the development of the entire organization.
7. HRD is an organizationally directed process; that is a
subsystem of a big system. In place of HRM where there
are separate roles to play, which makes it an
independent function.

Goals of HRD
The goals of HRD are to develop:

 The capabilities of each employee as an individual

 The capabilities of each individual in relation to his or her present role
 The capabilities of each employee in relation to his or her expected
future role(s)
 The dyadic relationship between each employee and his or her
supervisor,
 The team spirit and functioning in every organisational unit
 Collaboration among different units of the organisation
 The organisation’s overall health and self-renewing capabilities which,
in turn, increase the enabling capabilities of individuals, dyads, teams,
and the entire organisation.