Personnel management focuses on administrative tasks such as payroll and compliance with employment regulations, while human resources is responsible for managing the workforce as a key resource for organizational success. When comparing personnel management and human resources, the latter is seen as broader in scope. It encompasses and enhances personnel management duties, while also aiming to build and cultivate teams of employees for the betterment of the organization.
A primary objective of human resources is to facilitate employees’ optimal efficiency. Personnel management encompasses conventional and regular administrative responsibilities. It can be characterized as reactive, offering solutions to immediate demands and concerns. Conversely, human resources involve continuous strategies for overseeing and enhancing an organization’s workforce. It is proactive in nature, encompassing the persistent development of functions and policies to improve a company’s workforce. Personnel management is typically regarded as an independent function within an organization.
Human resource management and personnel management have distinct differences in their role within an organization. Personnel management is typically handled solely by the personnel department, while human resource management involves all managers within the organization. The primary objective of human resource management is to equip managers in various departments with the necessary skills to handle personnel-related tasks. On the other hand, personnel management is a traditional administrative function that is focused on routine maintenance and independent sub-functions.
Human resource development takes a different approach from personnel management. It follows a continuous and ongoing development function aimed at improving human processes. Unlike personnel management, which is considered in isolation, human resource development takes into account the larger organization and its linkages and interfaces. Personnel management is reactive and responds to demands as they arise, while human resource development is proactive, anticipating and continuously planning for future advancements.
Personnel management (PM) is solely the responsibility of the personnel department. On the other hand, human resource development (HRD) is a concern shared by all managers within the organization, aiming to enhance the capabilities of line managers in performing personnel functions. PM has a relatively narrow scope, focusing on the administration of people. Conversely, HRD takes a holistic approach, viewing the organization as a whole and placing importance on cultivating a dynamic culture. Motivators in PM primarily consist of compensation, rewards, job simplification, and similar factors. In HRD, work groups, challenges, and creativity on the job are considered as motivators. While PM asserts that improved satisfaction leads to improved performance, HRD follows the opposite perspective (performance being the cause and satisfaction being the result).