HRM vs Personnel Management – A Theoretical and Practical Comparison
Personnel Management (PM) and Human Resource Management (HRM) represent two distinct stages in the evolution of managing people at work, differing significantly in philosophy, focus, and practice. Personnel Management is traditionally rooted in the administrative and welfare approaches, emphasising employee record-keeping, payroll, compliance, and routine labour management. It tends to be reactive, addressing problems only when they arise, and focuses primarily on maintaining organizational rules, discipline, and stability (Torrington et al., 2017). Personnel Management views employees mainly as a cost that must be controlled through procedures, formal structures, and welfare provisions (Armstrong, 2020). The approach is operational, narrow in scope, and concerned with short-term employee needs and compliance with regulations. In contrast, Human Resource Management adopts a broader, more strategic and developmental perspective, aligning people management with long-term organi...