HRD and HRM although interconnected are two very distinct concepts. The difference between HRM (Human Resource Management) and HRD (Human Resource Development) lies in their functionality. HRM encompasses the part of the employee life cycle including the recruitment, compensation, performance management and employee relations. HRD on the other hand, focuses on the training and development part of the employee life cycle in an organization including enhancement of employee skills, knowledge, abilities fostering career development.
HRM and HRD is what dictates the entire employee life cycle, right from the recruitment of an employee to their exit from the organization. Everything that falls between these two aspects is collectively governed by HRM and HRD.
HRM (Human Resource Management) is the part of management in an organization where the human resources of the firm are put to the best use possible by providing them with the required resources. HRM focuses on the management and deliverance of administrative tasks, policies, and procedures. It involves tasks like recruitment, payroll compensation, benefits, compliance with labour laws. HRM aims to align organizational goals with employees to create a successful workforce and a productive environment.
What are the direct benefits of HRM in an organization?
However, there are a few disadvantages associated with HRM, if not implemented the right way.
HRD (Human Resource Development) is the process of driving the skills and abilities of employees through various active training and development methods. The aim of HRD is to help employees to acquire skills and capabilities that would not just help them fit into distinct roles and expand their learning horizons and progress in their career paths but can also greatly contribute to the organization and be a big part of the company’s success. HRD ensures that the workforce has employees with the right skills working in the right roles.
The right training helps employees acquire the skills they lack, but need, to excel at their jobs as well as contribute or may be even transition to other roles, increasing their productivity and in turn increasing the organization’s productivity.
When individuals are trained to have the right skills and knowledge, their confidence of performing better automatically increases, leading better engagement at work.
Only when you commit to helping an employee progress in their career or demonstrate interest in training them to be better will they be willing to give their all and stay and work for you as well
Having a workforce with the right skills, knowledge and abilities is what you need if you want your organisation to grow and thrive. HRD programs are a big part of realising this aim.
In the article above you have now seen what the meaning of HRM is and HRD and their impact in an organization. While they are both a big part of an employee’s life cycle, there are distinct difference between the two. A comparison between HRM and HRD can help you understand better about these two especially essential functions.
Some of the key differences between HRD and HRM are-
Category | HRM (Human Resource Management) | HRD (Human Resource Development) |
Objective | Effective management of the human resources in the organization. | Upskill and reskill future and current employees of the organization. |
Tasks | Recruitment, selection, compensation, employee relations, performance management, compliance with laws and regulations | Training and development, career planning, talent management, organizational development |
Aim | To make sure that the workforce is equipped with the right skills and knowledge. | To help individuals grow individually in their careers as well as foster organizational productivity. |
Time period | Immediate goals of implementing the tasks exactly right | Long-term goals and strategic planning |
Orientation | Organization-oriented, focusing on efficiency and resource management | Employee-oriented, focusing on growth, engagement, and career progression |
HRM and HRD are intertwined as they both are part of the human resources. Apart from the distinct difference between HRM and HRD, they have quite a few similarities as well.
Some of the important similarities the two presents are-
HRM and HRD differ certain ways pertaining to their end goals and functionality. HRM focuses on the management of human resources, while HRD emphasizes the training and development of skills and knowledge of employees.
Human Resource Management is a broader concept that includes activities such as recruitment, selection, staffing, development, monitoring, maintenance, relationship management, and evaluation. In contrast, Human Resource Development specifically pertains to the development aspect, which involves training, learning, career development, talent management, performance appraisal, employee engagement, and empowerment.
If you are an organization seeking HR services encompassing all the goodness and effectiveness of HRM and HRD collectively, then Alp Consulting would be your ideal HR partner. With 26 years of experience in the HR industry, we not only house HR experts who are adept at carrying out all HR functions efficiently but also understand all the nuances involved in Human Resources and provide unique HR solutions to clients relevant to their business.