What is the Difference Between HRM and SHRM?
🆚 Go to Comparative Table 🆚The main difference between Human Resource Management (HRM) and Strategic Human Resource Management (SHRM) lies in their focus and approach. HRM is more focused on the administrative and operational aspects of managing employees, while SHRM takes a strategic approach by aligning HR practices with the organization's overall strategic goals and objectives. Here are some key differences between HRM and SHRM:
- Meaning: HRM refers to the governance of an organization's manpower in a structured manner, while SHRM is a managerial function that involves framing HR strategies to direct the organization towards achieving its strategic goals.
- Nature: HRM is reactive in nature, focusing on meeting immediate operational needs and solving current HR issues, while SHRM is proactive, looking at long-term goals and aligning HR practices with the organization's mission and goals.
- Responsibility: In HRM, the responsibility for managing employees lies with staff specialists, while in SHRM, it lies with line managers.
- Emphasis: HRM emphasizes employee relations, motivation, and compliance with employment laws, while SHRM focuses on a partnership with internal and external constituent groups.
- Support: HRM supports short-term business goals and outcomes, while SHRM supports long-term goals and results of the business.
- Strategic Role: HRM often plays a support function within the organization, ensuring compliance and efficiency in HR practices, while SHRM actively participates in the strategic planning process and contributes to shaping the organization's culture, values, and long-term competitiveness.
In summary, HRM focuses on the day-to-day management of human resources, while SHRM takes a more strategic and long-term approach, aligning HR practices with the organization's overall strategic goals and objectives. Both approaches are important for effective people management and organizational success.
Comparative Table: HRM vs SHRM
The difference between Human Resource Management (HRM) and Strategic Human Resource Management (SHRM) can be summarized in the following table:
| Feature | HRM | SHRM |
|---|---|---|
| Focus | Implementation of management principles for managing the workforce, including hiring, developing, and retaining employees | Aligning business strategy with the company's human resource practices, ensuring that HR practices are in tune with the strategic objectives of the organization |
| Nature | Reactive management function | Proactive management function |
| Responsibility | Manpower responsibility lies with the staff specialists | Manpower responsibility lies with the top management and HR professionals |
| Alignment | Supports short-term business goals and outcomes | Supports long-term business goals and outcomes by laying down a clear corporate strategy and vision for the future |
| External Constituents | Focuses on a partnership with internal constituent groups | Focuses on a partnership with both internal and external constituent groups |
In summary, HRM is responsible for managing the workforce of an organization, while SHRM aligns the business strategy with the company's human resource practices, ensuring that HR practices support the organization's long-term goals and objectives.
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