Human Resource Management in Indian Hospitality Industry: Emerging Theoretical and Practical Aspects

Human Resource Management in Indian Hospitality Industry: Emerging Theoretical and Practical Aspects

Mohinder Chand Dhiman (Kurukshetra University, India) and Amit Kumar (Kurukshetra University, India)
Copyright: © 2015 |Pages: 17
DOI: 10.4018/978-1-4666-8268-9.ch016
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Abstract

In the present era of globalization, human resources is the most important asset for any organization and a source of achieving competitive advantage. The theory, research, and practice of human resource management (HRM) has evolved considerably over the past century; experiencing a major transformation in practices within the most recent three decades. Today, HRM is regarded as the source of sustained competitive advantage for many organizations operating in a global economy, with no exception for the tourism and hospitality industry. While there is growing evidence that the practice of human resource management in the hospitality industry is characterized by informality, there is less evidence about the emerging theoretical and practical aspects of HRM. Thus, this chapter makes a modest attempt in the direction of building management concerns and advocacy for better HRM systems and practices in Indian hospitality industry.
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Introduction

Every industry requires certain prerequisites for its functioning namely; raw materials, finance and funding, machinery, etc. similarly, it requires manpower and Tourism & Hospitality industry is no exception. This manpower is the Human Resources and in order to manage the manpower, Human Resource Management is necessary. HRM involves managing manpower in order to improve individual, group and organizational effectiveness. It is important to manage human resources as they help in the prosperity and progress through the committed and creative efforts and competencies of their human resources. Edwin Flippo defines the term, HR management as “planning, organizing, directing and controlling of the procurement, development, compensation, integration, maintenance and separation of human resources to the end that individual, organizational, and social objectives are accomplished.” HRM emphasizes mainly on the accomplishment of individual or personal objectives of the employees (e.g.: promotions), encouraging team work, attaining higher profits, social development, etc. Recruitment and maintaining good people are essential to the success of every organization, whether profit or non-profit, public or private. It is important that organizations, manage human resources on a continuous basis, due to the growing expectations of employees. HRM works on the availability of competent and diligent manpower ensures effective use of manpower through appropriate placements, constant provision of rewards, acknowledgements and incentives to the employees encourages and motivates them to do their best. HRM also attempts to devise the best possible compensation packages to the employees. HRM encourages team work, facilitates career development and makes an effort to create the right environment to develop careers of managers within the organization. A healthy environment can occur only when the working relationships between all the employees are established, leading to an overall development of every individual employee as well as the organization on a whole. Deming (1982) once remarked- “Abundance of natural resources is not a requirement for prosperity. The wealth of a nation depends on its people.” HRM also looks into the grievances and issues faced by the employees and industrial relations. Thus HRM acts as a fuel for the smooth functioning of an organization and its overall development and progress and HRM practices play a vital role in the successful human resource management and development in hospitality industry.

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