Personnel and human resource management are two very different concepts in theory and orientation. The personnel management system focuses on the utilization of resources. However, human resource management is the modern Way of enhancing employees’ productivity.
There is a fine line of Difference between both concepts. Personnel management was the initial approach for enhancing organizational productivity. Today, the modernized approach to employee engagement has called for a renaissance. Human resource management is all about establishing healthy work association with the employees to play a significant role in retaining the employees in the future.
Key Difference between personnel management and HRM
Human resource management is the evolved version of human resource management. Personnel management does not allow employees to be treated as human beings in the first place. The personal management approach is indirect, unlike modern human resource management.
As per personnel management, the negotiation is done collectively with the union leader. Contrarily, as per human resource management, every employee has a separate individual contract with the organization.
HRM aims to achieve an ideal workplace and culture that energizes employees to give their best shots and stay for the long term. Hence, Human Resource Managers focus on enhancing business sustainability by creating a close-knit team and excellent work culture.
The nature and scope of HRM are to offer opportunities for resources to grow and contribute to organizational growth.
Most importantly, Human resource Management treats employees as humans first and resources later!
The Way forward!
Human resource management is proof of the renaissance of the corporate landscape. It is another progressive extension of personnel management that called off the shortcomings of the resource utilization approach.
Nowadays, retaining employees for the long term is immensely challenging. Employees are very much aware of their rights, and there is no way to treat human resources like tools for driving productivity. Hence, human resource management has evolved over the years to address employees’ concerns.