Distinction between Personnel Management and HR Management

Distinction between Personnel Management and HR Management

HRM is developed from personnel management. They are similar in some ways but different in may ways. Many people feel that HRM offered nothing new and is just a meaningless and transatlantic level, which has been attached to personnel management. Effective personnel managers have always practiced HRM.


The following points highlights the difference between Personnel Management and Human Resource Management.

Personnel Management Human Resource Management
1. It tries to develop individual employee. 1. HRM develops individual's employee through team effort.
2. It is a traditional approach to administration of people. 2. It is a modern system to management of human energy and physical strength.
3. It is concerned with individual satisfaction only. 3. It is concerned with whole team satisfaction.
4. PM dealing is related in negotiating administration and collect agreement. 4. HRM dealing is concerned in wider notion of work i.e. it emphasizes employee participation in decision making.
5. Personnel management used to assist line manager to implement the corporate strategy. 5. HR manager are the line manager who directly contribute to profit.
6. The outcomes of PM is individual satisfaction. 6. The outcomes of HRM is increased productivity, profit and organizational effectiveness.
7. PM has simple rising towards management. 7. HRM has broad vision toward management.
8. PM considers people as variable cost. 8. HRM requires people as social capital and valuable asset.

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