StaffingClass 12 Business Studies Part 1 NCERT Solutions

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Q1Long Answer Type

'Human resource management includes many specialized activities and duties.' Explain.

Solution

The statement is correct. As organisations grow, managing the human component becomes a specialised area requiring the expertise of many people, leading to the formation of a Human Resource Department. Human Resource Management (HRM) is a broad function that includes many specialised activities and duties performed by HR personnel. These are:
  • Recruitment: This involves searching for qualified people to fill job vacancies and stimulating them to apply.
  • Analysing Jobs: This includes collecting information about jobs to prepare detailed job descriptions and specifications, which outline the duties, responsibilities, skills, and qualifications required for a particular job.
  • Developing Compensation and Incentive Plans: HRM is responsible for establishing fair wage and salary plans. This includes determining the worth of each job and creating incentive plans like bonuses and commissions to reward performance.
  • Training and Development of Employees: This duty involves designing and implementing programs to enhance employees' skills for efficient performance and to facilitate their career growth. It ensures the workforce remains updated and competent.
  • Maintaining Labour and Union-Management Relations: HRM plays a crucial role in fostering a harmonious relationship between management and labour unions, handling negotiations, and resolving disputes.
  • Handling Grievances and Complaints: A systematic procedure for handling employee grievances and complaints is established and managed by the HR department to maintain morale and a positive work environment.
  • Providing for Social Security and Welfare of Employees: HRM manages employee benefits such as insurance, medical aid, provident funds, and other welfare activities to ensure their well-being.
  • Defending the Company in Lawsuits: The HR department is responsible for ensuring compliance with various labour laws and defending the company against legal complications or lawsuits filed by employees.