HR management is driven by several business principles, particularly the "Ten C" collection of HR management principles developed by HR management expert Alan Price, author of "Human Resource Management in a Business Context." Price's 10 principles of human resource management are "comprehensiveness, credibility, communication, cost effectiveness, creativity, coherence, competence, control, change and commitment."
Ten C and the Harvard Map
Central to HR management and the Ten-C model are four primary guiding principles distinguished as the "Harvard Map." These principles of HRM are particularly useful for practitioners to determine how HR strategic management affects three separate stakeholders: individual employees, the organization and society, or the community the organization serves. The four "Cs" Harvard Map principles as "commitment, competence, cost effectiveness and congruence."
Commitment
Job security acknowledges the intrinsic need that employees have to demonstrate their commitment to the business and their job duties. HR management fulfills that need through ensuring staffing levels are consistent with the business needs and that employees can reasonably expect they can be long-term employees.
The organization illustrates its commitment to workers and invests in their success by providing training opportunities, performance evaluations and goal-setting activities. Society or the surrounding community benefits from an employer's commitment to providing employment opportunities that sustain the economy.
Competence
Competence is a principle that supports business development. It is also a factor in employees' job satisfaction and how the organization affects society. Successful businesses rely on competent workers who understand their employers' performance expectations. HR management sustains workforce competency through providing training and orientation to upgrade and improve employees' skills and job knowledge.
The impact that competence has on society is the production of safe and reliable products and services. Without sufficiently high competence, the organization exposes itself to potential legal claims against the product it sells or the service it renders.
Cost-Effectiveness
Budgets for HR departments often are insufficient to support all the necessary HR activities, especially in areas such as recruiting, training and development and employee relations. HR is not a revenue-generating department, which is one reason budgets for HR departments might be the first cut.
HR typically is held to a higher standard for illustrating return on investment in its activities. For example, the expense of outsourcing administrative tasks may be a cost-effective solution for small businesses that don't have the capital or resources to support a full-time HR staff. The return on investment includes efficient, high-quality services for employees, such as benefits administration, payroll processing and retirement savings programs.
Congruence
Attainable workforce management goals must be congruent with the overall goals of the business. Goals such as becoming an industry leader require an HR focus on recruiting talented workers capable of innovative research and development of company products. This part of the "Congruence" principle addresses the individual employee and the organization. Its effect on society is an employer that provides career opportunities for the surrounding labor market and high-quality products for its consumers.
FAQs
It includes manpower planning, selection, training and development, placement, wage and salary administration, promotion, transfer, separation, performance appraisal, grievance handling, welfare administration, job evaluation and merit rating, and exit interview.
What are the 7 main function of HR? ›
The role of human resource managers is to support management and management development in the organisation. Hiring, training, compensation, benefits, performance management, organisational design, succession planning, and retention management—all fall under the functions of HR manager.
What are the first principles in HR? ›
A: First Principle thinking enables HR professionals to be more innovative and strategic in their approach to talent strategy and management. It also helps them to identify the root cause of talent management challenges and develop solutions that address them directly.
What are the 13 HR practices? ›
The thirteen steps in the HR life cycle
- Business strategy. The organization's business strategy should be the starting point for any HR activity. ...
- HR strategy. ...
- Organizational design. ...
- Job & team design. ...
- HR planning. ...
- Vision and culture. ...
- Recruitment & selection. ...
- Onboarding and induction.
To help you get started on the right foot, let's go over HRM basics - namely, the three pillars of HRM: strategic planning, workforce development, and performance management. These three pillars will serve as the foundation for all other aspects of your human resource department.
What are the 5 core functions of HR? ›
The 5 Core Human Resources Functions
- Compensation and Benefits. ...
- Recruiting and Staffing. ...
- Safety and Compliance. ...
- Training and Development. ...
- Talent Management.
12 key human resources duties and responsibilities
- Recruiting. ...
- Fostering a safe work environment. ...
- Managing employee relations. ...
- Administering payroll. ...
- Managing compensation and benefits packages. ...
- Handling disciplinary needs. ...
- Ensuring compliance with labor laws and regulations. ...
- Overseeing training programs.
HR manages five main duties: talent management, compensation and benefits, training and development, compliance, and workplace safety.
What are the 4 C's of human resource management? ›
The Harvard Model of HRM, with its 4C framework, plays a pivotal role in aligning human resource practices with strategic business objectives. Commitment, competence, congruence, and cost-effectiveness are the core outcomes that guide HR policies towards fostering a productive and harmonious work environment.
What are the 4 P's of human resource management? ›
Just like the four P's of Marketing (product, place, price and promotion), HR can build a brand with four P's of its own — people, pay, process, and promotion. An HR brand is defined by the culture of the organization and is important in attracting, engaging, developing, and retaining a best-in-class workforce.
Respect the uniqueness and intrinsic worth of every individual. Treat people with dignity, respect and compassion to foster a trusting work environment free of harassment, intimidation, and unlawful discrimination. Ensure that everyone has the opportunity to develop their skills and new competencies.
What does HR strategy always begin with? ›
Your first step in strategic HR planning is identifying your current employees' knowledge, skills and abilities. This includes evaluating your employees' competencies, education levels training and certifications.
What are the 10 C's of human resource management? ›
Alan Price has pointed out in his book “Human Resource Management in a Business Context”, the top 10 benefits when it comes to HRM, the top 10 C's, namely, cost-effective, competitive, credibility, commitment, change, competitive advantage, communication, coherence, comprehensiveness, and creativity.
What are the four principles of human resource development? ›
In conclusion, the four principles of HR – strategic management, workforce planning and employment, human resource development, and total rewards – guide HR professionals in effectively managing the most valuable asset of any organisation – its people.
What are the five key elements of human resource management? ›
HR manages five main duties: talent management, compensation and benefits, training and development, compliance, and workplace safety. There's a lot of crossover between different HR roles, and between HR and other departments.
What are the 9 C's of HRM? ›
Alan Price has pointed out in his book “Human Resource Management in a Business Context”, the top 10 benefits when it comes to HRM, the top 10 C's, namely, cost-effective, competitive, credibility, commitment, change, competitive advantage, communication, coherence, comprehensiveness, and creativity.
