Evolution of HRM in the 21st Century

This study discusses the revolution of HRM in the last 10 years, the importance of HRM in the 21st century, and the evolution of HRM through various stages. It also provides recommendations for companies to improve HRM practices.

HRM Assessment 2

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
HRMe abstract should begin with a brief but precise statement of the problem or issue,
followed by a description of the research method and design, the major findings, and the
conclu evolution...........................................................................................................................3
ANALYSIS......................................................................................................................................4
Importance of HRM in 21st century............................................................................................4
Evolution of HRM through varies stages.....................................................................................5
RECOMMENDATIONS.................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Human resource can be defined as a group of people or important department of
companies that deals with hiring, administration as well as training of employees. Nowadays, HR
is mainly responsible for managing relation of employees, benefits and career development by
which they can help company in meeting goals (Ahammad, Glaister and Gomes, 2020). This
present study of HRM is going to discuss revolution of HRM as how HRM has been changed
over the last 10 years. It will discuss reasons as why several changes have been made in HRM
and one of the main reasons of changes is technology and globalization. It will further discuss
several importances or benefits of HRM in 21st century. Some benefits that this study will show
in this study include: development of skills and abilities among employees for taking competitive
advantages, improving image of the company, improving overall productivity and others. All
functions of HR such as recruitment, selection, training and development, motivation, rewards
management have been changed in this last 10 years and such changes are having some positive
impacts on performance of companies. The main aim of conducting this study is to make
companies and people aware about changes and difference between HRM in ancient era and
HRM in this modern era. For accomplishing this goal, this study will discuss some major trends
that have been changed to the great extent such as: technology, employees priorities, training
systems and others.
HRMe abstract should begin with a brief but precise statement of the problem or issue, followed
by a description of the research method and design, the major findings, and the conclu
evolution
Human resource that is considered as one of the important functional department of any
organization, it can be said that it plays several roles. Function of HR starts with recruitment and
selection and ends to retention of employees within company. Managing people in organizations
or at workplace started at the time of industrial revolution in the late 18th century. In the late
century, only few large organizations had HR. At that time, people were managed and treated as
slaves (Helfat, 2017). Companies that purchases slaves at that time had a complete control; and
they had to do variety of arduous work such as: carrying loads, construction of buildings, rowing
ships and others. They were treated as like a normal resource of the company. But with the
changing nature and increasing use of technology, HR has been changed to the great extent.

As compared to ancient era, in this modern era, people or employees of any type of
organizations are being considered as one of the most important resources. All policies, activities
and strategies are mainly being developed for satisfying employees and retaining them with the
company. In ancient era, HR were subjected to strict supervision and it was generally punishable
with physical torture and also death sentence for grave offences. Now with industrial revolution,
improvement in technology, globalization and increasing rate of competition has changes HR to
the great extent (Roberson, Ryan and Ragins, 2017). These developments resulted in an
unprecedented demand for various categories of labour within country and abroad as well. Now,
employees have freedom in relationships with their employers, but they have to abide all rules of
employment law. Breaking of laws resulted punishment and termination.
ANALYSIS
Importance of HRM in 21st century
HRM in 21st century plays a vital role and it is mainly responsible for managing all
employees and improving relation of employees with employers. For this purpose, it performs
several functions such as: recruitment with appropriate strategies, workplace safety,
compensation and benefits to employees, training, labour law compliances and others. From last
two decades HRM play important role in every organization (Micic and Radosavac, 2017). In
21st century HRM add various activities in which solve employees problems and help
organization to maintain their position in market or in industry. All above mention functions is
for to provide benefits of the employees. These functions and activities help HRM in
management and compensation of employees and also help to provide health and safety benefits
to the employees.
In 21st century HRM still follow some traditional functions to attract, select and motivate
their employees. This functions still help HR manager in strategic hiring, employee development
etc. Over the last couple of years in every organization HR helps to build strong and loyal
employee community, and now they also try to use strategic management for the growth of the
organization. HRM strategic management help organization to increase and improve their
functions. Their strategy management refers to organization and its competitive advantages. By
strategy management HRM describe and evaluate organization product and services which help
to grow and expand the business. In 21st century HRM include in their strategy various
information such as short vs. long term focus, quality vs. quantity and high risk vs. low risks etc.

These information help employees and organization to maintained their work and performance in
competitive environment.
HRM is very important in 21st century to manage organization work along with
employees the best performance. In past HRM have limited roles and responsibilities so that they
not affect much in organization but now HRM have important role and responsibilities which
effect organization and management of the company(Reddy and Lakshmikeerthi, 2017). There
are various important reasons where HRM is play important role in society to influence the
world work it includes social group trends of 21st century, increased competitions, the cost and
benefits also connected with HRM, productivity changes etc. reasons which influence society to
growth and importance of HRM. With the time HRM is becoming attractive they offer various
job opportunities and also try to recruit the best candidate for job vacancy. In 21st century HRM
also using innovate technology for competitive advantages. HRM is a multidisciplinary
organization function which helps in various fields such as psychology, sociology, management
and economics fields. These help organization to increase their performance and also in
expansion of the business.
Although in 21st century HRM importance are increasing constantly and play extremely
important role in organization (Sivapragasam and Raya, 2018). In past HRM don't have that
much importance but with the time roles and responsibilities are increased and now HRM is play
important role every organization and business success.
Evolution of HRM through varies stages
HRM roles and responsibilities is changed with time. HRM evaluation has various stages
such as,
Pre-1900s Human Resource Management: Tough work, Tougher conditions:
At that time communication between worker and organization is not easy. That time,
work is hard and worker condition is harder. HRM try to improve worker condition and carry out
sneak practice, They also try to encourage and motivate employees for loyalty work.
1920s-1950s Human Resource Management:

At this time changes start in workplace, and they understand that employees and workers
are not puppets they also have feelings and emotions That time they also trying to understand
that HRM must focus on personal and manpower development (Fukuyama, 2018). They also
increase they effort in employees personal development. By this behaviour they also affect
economic growth. At that time HRM focus on employees learning their personal development so
that they provide jobs and also help in organization development.
1960s-1980s Human Resources Management:
At this time Human resource department focus on various compliance issues such as
leaves of absence, worker classification, health care benefits, sexual harassment, minimum wage
and employer shared responsibility enforcement etc. In this time period HR pay more care to
employees and worker needs for achievement, promotion and acknowledgement. Employees and
workers also focus on psychological motivation and inspiration.
1990s-2010 Human Resources Management:
With time HRM role and responsibilities more complex over a time, and they shifted in
new technologies and for strategic management for the organizations. At this time HRM
department focus on employees training and development for higher performance and for
organization. They also try to trained employees with new technology for expansion of the
business. In this time HRM focus shift from process centric to worker centric (Cooke, 2018).
This worker centric method help HRM to develop organization growth as well as employees
growth. Human resource management responsibilities increase with every stage of evaluation. In
this time HRM responsibilities and importance in organization increased and these roles and
responsibility affect organization potability and performance. Strategic management help Human
resource department to understand business position and take action according to that and also
they recruit employees according to their strategic management. They also try to hire the best
employee so that they can add value in their organizations.
Future for Human Resource Management:
In evaluation of HRM department organization try to improve more for future for that
they use various methods and techniques which help HRM to improve their performance
according to time so that they can provide advantages to the organization (Rose End Meadows,

2021.). There are various methods which help HRM and their evaluation in future such as
embrace technology and analytics which helps strategic HRM in employees recruitment,
understand employees life stage which help to understand different employees behaviour and
career development, changing mindset is also helpful method for HRM in evaluation, and spend
time with employees so that Human resource management better understand their issues and
provide the best solution.
Basically HRM roles and responsibilities change over a time and from several years they
try to provide service to organization and to employees. They also try to increase employees
performance by various motivation activities and trainings.
RECOMMENDATIONS
On the basis of above discussion it is found that HRM has been changed in last 10 years
to the great extent. In this modern era, HR department gives several opportunities and liberties to
employees that have some positive impacts on performance of company. But on the other hand,
it is found that with the changing needs and technologies evolution, HRM in 21st century is
facing some problems. Some problems that are involved in 21st century of HRM are: change
management, globalization, workplace diversity, succession planning, conflict management,
managing multi generational workforces and many more. So, in this regard it can be suggested to
companies that they should focus on implementing or making use of strict legislations. Strict
rules and legislations at workplace related to discrimination, conflict management and others can
protect companies against all these issues and lawsuits (Analoui, 2017). Employees can not take
undue advantages of liberty that have been given to them for motivating towards accomplishing
goals. Legislations and effective strategies like organizational structure, rewards management
system increases discipline and concentration among employees. It can help both employees and
employers in improving working culture and environment that is the main key of success of
companies and responsibility of HR.
It can also be recommended to companies for increasing staff retention rate and
maintaining discipline at workplace that, they should focus on using performance appraisal and
rewards management system. Effective performance appraisal and controlling monitoring can
help companies in knowing current status of their employees and knowing that whether their

employees are going on the right track or not. Proper controlling and all effective system
increases morale and makes them feel valued (Papa and et.al., 2018).
CONCLUSION
It has been summarized from the above study that HR plays a vital role and it is known as
the main pillar of company in 21st century. HR performs several functions for managing people
and making them able to help company in meeting goals and stay with them for the long run.
This study has discussed HRM revolution in last 10 years or changes that have been made in
human resources. HRM has been changed to the great extent in all terms and such changes have
both positive and negative impacts on overall performance and productivity of companies. It has
further discussed benefits or importances of human resource in 21st century and ways in which it
can help companies in taking competitive advantages. Competition is increasing day by day and
all companies are striving hard for being in the competition and earning money and HR is main
responsible department for competitive advantages.

REFERENCES
Books and Journals
Ahammad, M.F., Glaister, K.W. and Gomes, E., 2020. Strategic agility and human resource
management. Human Resource Management Review. 30(1). p.100700.
Analoui, F. ed., 2017. The changing patterns of human resource management. Routledge.
Cooke, F.L., 2018. Concepts, contexts, and mindsets: Putting human resource management
research in perspectives.Human Resource Management Journal. 28(1). pp.1-13.
Fukuyama, M., 2018. Society 5.0: Aiming for a new human-centered society. Japan Spotlight.
27. pp.47-50.
Helfat, C.E., 2017. Stylized facts regarding the evolution of organizational resources and
capabilities. The SMS Blackwell handbook of organizational capabilities. pp.1-11.
Micic, L. and Radosavac, V., 2017, May. Influence of Information Technology to Human
Resources Management: Key Trends in 21st Century. In International Symposium on
Innovative and Interdisciplinary Applications of Advanced Technologies (pp. 271-281).
Springer, Cham.
Papa, A. and et.al., 2018. Improving innovation performance through knowledge acquisition: the
moderating role of employee retention and human resource management practices. Journal
of Knowledge Management.
Reddy, P.R. and Lakshmikeerthi, P., 2017. HR analytics-An effective evidence based HRM tool.
International Journal of Business and Management Invention. 6(7). pp.23-34.
Roberson, Q., Ryan, A.M. and Ragins, B.R., 2017. The evolution and future of diversity at work.
Journal of applied psychology. 102(3). p.483.
Sivapragasam, P. and Raya, R.P., 2018. HRM and employee engagement link: Mediating role of
employee well-being.Global Business Review. 19(1). pp.147-161.
ONLINE
Rose End Meadows. 2021. [Online] Available through: <
https://www.itagroup.com/insights/evolution-of-human-resources-management>