Personnel administration is a set of activities an employer engages in to secure the greatest possible worker effectiveness while meeting organizational objectives. The goals of personnel administration are hiring, retaining, developing, and motivating staff. Three time periods capture the emergence of personnel administration into human relations management.
The Emergence Period (1890-1930) was characterized by the rise of bureaucratic business models and classical organizational theories which stressed coordination, control, production, and organizational efficiency. The Employee Rights and Benefits Period (1930-1970) witnessed rising social and political pressures for the individual's rights, concern over employee morale and job satisfaction, and the improvement of working conditions.
The Human Resource Management Period (1970-present) expanded the importance of teamwork, communication, consideration for employee personal growth and development, vision and goal setting, and shared governance. Scientific management theories and bureaucratic models dominated organizational structure and management thinking until the early 1950s when a plethora of federal laws and codes significantly affected labor-management relations. Laws ranging from collective bargaining to antidiscrimination to employee retirement packages caused organizations to rewrite policies and change their mental model of employees as a labor force.
As a result, personnel administration was designated as the area to frame, implement, and monitor policy designed to meet the requirements set forth by federal legislation. The development of human resource management as a field of study is more associated with leadership responsibilities than with those of management. Human resource management is more of a leadership function than a maintenance one with its emphasis on the individual as a valued professional with unique skills and knowledge which are essential to organizational effectiveness. Motivation and leadership which are essential to maximizing individual potential and achieving quality outcomes.