By Michael Armstrong, Stephen Taylor
From an the world over revered specialist on administration subject matters comes this absolutely revised 10th anniversary variation of his vintage textbook.
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Extra resources for A Handbook of Human Resource Management Practice
There is more to HCM than measurement. Human capital management focuses the attention of an organization’s leadership team on the strategies it should adopt as outlined below to increase the added value they obtain from people.
The report defined HCM as ‘an approach to people management that treats it as a high level strategic issue rather than an operational matter “to be left to the HR people” ’. The Task Force expressed the view that HCM ‘has been under-exploited as a way of gaining competitive edge’. As John Sunderland, Task Force member and Executive Chairman of Cadbury Schweppes plc commented: ‘An organization’s success is the product of its people’s competence. ’ Nalbantian et al (2004) emphasize the measurement aspect of HCM.
1. 1 Similarities and differences between HRM and personnel management Similarities Differences 1. Personnel management strategies, like HRM strategies, flow from the business strategy. 2. Personnel management, like HRM, recognizes that line managers are responsible for managing people. The personnel function provides the necessary advice and support services to enable managers to carry out their responsibilities. 3. The values of personnel management and at least the ‘soft’ version of HRM are identical with regard to ‘respect for the individual’, balancing organizational and individual needs, and developing people to achieve their maximum level of competence both for their own satisfaction and to facilitate the achievement of organizational objectives.