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The Shift from Personnel Management to Strategic Human Resource Management in Australia

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The Shift from Personnel Management to Strategic Human Resource Management in Australia

The management of people is ever-changing and extremely dynamic; it under goes sequential evolution with an organisations’ internal and external environments. Consequentially history has seen global Human Resource Management have considerable variation in its focus and practice. In Australia the history of Human Resource Management is said to have transformed over four stages; Pre 1940s Administration and welfare, 1940s – 1970s Personnel Management, 1970s – 2000 Human Resource Management (and, from about 1985, Strategic HRM) and the current era expected to be a mix of Strategic and International Human Resource Management. The transition from stage two to three was seen as a somewhat paramount movement in Human Resource Management as it harboured the link between Personnel Management and Strategic Management. This has become an extremely important concept in the management environment today. Human resource planning, recruitment, selection, performance appraisal and human resource development are five of the Human Resource processes which are vital to the success and of organisations and were influential during the transition between stages two and three of Human Resource Management history. These five dimensions were the catalysts of the forces that drove changes in Human Resource Management over the last quarter of the twentieth century.

Human resource planning is the process by which an organisation attempts to ensure that it has the right number of qualified people in the right jobs at the right time (Stone, 2008: 11) analogously known as having ‘bums in seats’. Under the Personnel Management framework human resource planning was focused purely on supporting the business strategies of the organisation. This concept later transformed to not only support the business

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