Human resource management (HRM) refers to the processes and systems that are put in place to manage and support the workforce of an organization. Traditionally, HRM was focused on administrative tasks such as hiring, payroll, and benefits administration. However, as the role of HR has evolved, so too has the approach to HRM. Today, there are two main approaches to HRM: traditional and modern.
Traditional HRM, also known as "personnel management," is focused on the transactional aspects of HR such as hiring, firing, and payroll. This approach is often reactive, meaning that HR is only involved when there is a problem that needs to be addressed. Traditional HRM is typically top-down, with decisions made by management and HR professionals implementing those decisions.
Modern HRM, on the other hand, is focused on strategic HR practices that support the overall goals and objectives of the organization. This approach is proactive, meaning that HR is involved in planning and decision-making from the beginning. Modern HRM is also focused on employee development and engagement, and is often more collaborative, with HR working closely with employees and management to identify and address issues.
One key difference between traditional and modern HRM is the role of HR in the organization. In traditional HRM, HR is seen as a support function, while in modern HRM, HR is seen as a strategic partner. This means that in modern HRM, HR is involved in setting goals and objectives for the organization and working with management to develop and implement strategies to achieve those goals.
Another key difference is the focus on employee development. In traditional HRM, employee development is often an afterthought, with training and development programs only offered to employees who are in leadership positions or who are being groomed for promotion. In modern HRM, employee development is seen as a critical component of HR, with training and development programs offered to all employees to help them improve their skills and advance their careers.
Overall, the main difference between traditional and modern HRM is the focus on the employee. Traditional HRM is focused on administrative tasks and is reactive, while modern HRM is focused on strategic HR practices and is proactive. Modern HRM recognizes the importance of employee development and engagement, and involves HR in decision-making and planning at all levels of the organization.