This is article six in the Educational Business Series (EBS).
Introduction
"Human Resources Management (HRM) refers to the strategic and operational processes involved in managing an organization's workforce to achieve its objectives. It encompasses the planning, acquisition, development, and maintenance of human capital while ensuring compliance with legal and ethical standards. HRM focuses on optimizing employee performance, fostering a positive workplace culture, and aligning workforce capabilities with organizational goals” (xAI, Grok 4, 2025).
These processes include recruitment and selection, training and development, performance management, compensation and benefits, employee relations, compliance and risk management, etc. HRM strives to integrate these processes for organizational success.
HRM has evolved into a structured and formal social science that solves issues surrounding how best to manage the domains of people, organization, workplace, and strategy.
History
Before the Industrial Revolution, which began in the middle of the 18th century, workers were managed through diverse methods. Due to the rapid growth of factories and large-scale employment resulting from the Industrial Revolution, modern formal and structured means of managing labor arose.
At first, the focus was on discipline and productivity. As time went on voters agitated for changes such as improved working conditions, a reduction in child labor, and basic benefits for workers. By the 20th century, such advances were accompanied by emerging labor laws and societal expectations which resulted in the emergence of personnel management and modern approaches to human resources.
By the mid-20th century, advances in work-related applications of social sciences (e.g. sociology, psychology, etc.) resulted in more human-centric approaches. After World War II, employers began to more heavily invest in safety and training, employee benefits, etc. to attract and retain workers. Later came the US Civil Rights Act of 1964 and social welfare legislation.
Eventually, in the 1970s and 1980s, HRM aligned with organizational strategic management. As modern globalism emerged, HRM adapted to more diverse and wide-spread workforces.
Today, HRM "is characterized by its strategic, technology-driven, and employee-centric approach, shaped by digital transformation, changing workforce expectations, and global challenges.
The history of HRM reflects a progression from task-oriented labor oversight to a strategic, employee-focused discipline. From the Industrial Revolution’s welfare initiatives to today’s technology-driven, inclusive practices, HRM has adapted to economic, social, and technological shifts. It continues to evolve, balancing organizational goals with employee well-being in an increasingly complex global landscape" (xAI, Grok 4, 2025).
Body
HRM is a broad social science. Consider the following;
Jackson et al. (2018) segment the social science of Human Resources Management (HRM) as follows and is recommended reading to gain competency in each segment:
1. Managing human resources.
2. Formulating and implementing HRM strategies.
3. Ensuring fair treatment and legal compliance.
4. Using job analysis and competency modeling.
5. Managing talent through workforce planning, recruitment, and retention.
6. Selecting employees to fit the job and the organization.
7. Training and developing a competitive workforce.
8. Conducting performance management.
9. Developing an approach to total compensation.
10. Using performance-based pay to achieve strategic objectives.
11. Providing employee benefits.
12. Promoting and improving employee safety, health, and well-being.
13. Understanding unionization and collective bargaining.
14. Managing human resources globally.
HRM strives to interact with organizational stakeholders successfully. With respect to HRM, stakeholders are those affected by an organization’s human resource policies, practices, and outcomes.
This includes internal stakeholders (e.g. employees, managers, senior leadership, etc.); and external stakeholders (e.g. shareholders and investors, government and regulatory bodies, unions and employee associations, customers and clients, suppliers and business partners, etc.).
Jackson et al. (2018) exhibit 1.1 presents examples of stakeholders and their concerns.
Exhibit 1.1 - Stakeholders and examples of their concerns (Jackson et al., 2018, p. 5).
In addition to human resource duties (e.g. manage employees, manage work environment, ensure compliance with labor laws, etc.); HRM takes a structured approach in working to normalize stakeholder requirements and expectations, aligning the sphere of HRM with organizational strategy, ensuring compliance, assisting with risk management, participating in advocacy, engaging in conflict resolution, etc.
This structured approach presents as an HRM framework that integrates the various functions into a cohesive system.
Jackson et al. (2018) exhibit 1.2 presents an integrative framework example for managing human resources effectively.
Exhibit 1.2 - An integrative framework for managing human resources effectively (Jackson et al., 2018, p. 14).
As previously stated, this HRM integrative framework does not stand by itself however. Rather, it operates as part of a broader organizational strategy that is designed by those in the organization responsible for the organization’s strategic management. This strategic management is conducted to achieve beneficial organizational objectives. An example of such an objective would be to gain and retain retain competitive advantages for the organization.
Again, HRM strategies align with the organization’s broader strategic management objectives. Jackson et al. (2018) exhibit 2.1 provides a view of how strategic management influences human resource management strategies in the context of external and internal environments.
Exhibit 2.1 - Human resource management strategies in the context of external and internal environments (Jackson et al., 2018, p. 40).
Note that the external environment in exhibit 2.1 also extends to the global landscape, even for many small firms today.
Jackson et al. (2018) states, “The global landscape refers to the differences, similarities, and interactions of the external environments around the world, which includes globalization. Thus, to understand the global landscape companies must understand the different socio-cultural landscapes, legal and political landscapes, demographic landscapes, and economic landscapes around the globe and how they interact” (p. 574).
Jackson et al. (2018) 14.3 displays what navigating the global landscape with an integrated HRM system looks like presently. Be aware that “two aspects of the global landscape that impact the management of human resources globally are regional trade zones and international organizations” (p. 574).
Exhibit 14.3 - Navigating the global landscape with an integrated HRM system (Jackson et al., 2018, p. 575).
Conclusion
This introduction has presented Human Resources Management (HRM) from a macro or big picture view to familiar a general audience with the overall theme of the social science. A great amount of detail exists underneath such a macro introduction and it is recommended that the reader revisit the segmentation of HRM provided by Jackson et al. and consider obtaining a newer edition of the textbook to gain the desirable competency that a detailed examination of each segment provides.
“Human Resources Management (HRM) is a critical function that strategically manages an organization’s workforce to achieve its objectives while fostering employee well-being and ensuring compliance with legal and ethical standards.
By integrating key HR functions—such as recruitment, training, performance management, compensation, and employee relations—HRM aligns workforce capabilities with organizational goals, balances the needs of diverse stakeholders, and adapts to internal and external environmental factors.
An effective HRM framework promotes organizational success, enhances employee satisfaction, builds stakeholder trust, and mitigates risks through ethical and compliant practices. In a dynamic business landscape, HRM’s role in driving strategic alignment, fostering adaptability, and leveraging technology remains essential for sustainable growth and competitive advantage” (xAI, Grok 4, 2025).
Bibliography:
Armstrong, M., & Taylor, S. (2014). Armstrong's handbook of human resource management practice (13th ed.). Ashford Colour Press Ltd.
Cascio, W. F. (2016). Managing human resources: productivity, quality of work life, profits (10th ed.). McGraw Hill.
Dessler, G. (2008). Human resource management (11th ed.). Pearson.
Gerhart, B., Hollenbeck, J., Wright, P., & Noe, R. (2022). Human resource management: gaining a competitive advantage ISE (13th ed.). McGraw-Hill.
Jackson, S. E., Schuler R. S., & Werner, S. (2018). Managing human resources through strategic partnerships (12th ed.). Thomson.
Milkovich, G., Newman, J., & Gerhart, B. (2014). Compensation (11th ed.). McGraw-Hill.
xAI. (2025). Grok (version 4) [DeepSearch]. https://grok.com/
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