Nine Basic Principles Of Human Resource Management


Human Resource Management, as the name suggests, is about dealing with real people and getting the best out of them. It is vital to understand and uphold the basic principles of Human Resource Management to do it effectively. These principles are bound by ethics that help every HR personnel execute his or her role seamlessly. 

In this article, we will be discussing the below-mentioned topics –

  1. The Basic Nature Of Human Resource Management 
  2. Four C’s Of Human Resource Management
  3. 9 Basic Principles Of Human Resource Management

1. The Basic Nature Of Human Resource Management 

It is easier to apply all the Human Resource principles when you understand the profession’s nature well. In a rapidly-shifting world towards digitizing Human Resource Management, maintaining this field’s core nature provides the vital human touch. It helps in better workforce management and interaction. 

Before we answer – What are the principles of Human Resource Management? – we need to know what makes HR a unique profession. 

  • Human Resource Management applies to all domains. There is no field of work that can function without effective HRM. 
  • It is a result-driven practice that makes employees more productive and helps create a more conducive work environment. 
  • The goal of all the cornerstones of Human Resource Management is to help employees develop in various areas. 
  • HRM aims at keeping employees motivated towards their goals. 

2. Four C’s Of Human Resource Management

As per the Harvard model, managers should consider the four C’s of HRM while making decisions. These C’s are –

A) Commitment

Ensuring commitment among employees is of the utmost importance to any HR department. Human Resource principles help improve various factors that contribute to an environment that maintains this commitment in employees. Factors like job security, job satisfaction, and appreciation are vital in enhancing employees’ morale and keeping them motivated towards various organizational and personal goals. Basic human resource principles are geared towards the welfare of each employee to keep them committed. 

B) Competence

The competence of employees directly influences business development. For an organization to be successful, employees need to perform to the best of their capabilities. It is the role of the HR department to communicate what the company expects from the employees and help them achieve that. Every human resource principle aids in creating the right opportunities and the best environment to help employees excel. 

C) Cost Management

The HR department does not generate any revenue by itself. It is responsible for creating a competent workforce that can deliver products and services to improve revenue. However, the HR department must work within strict budget constraints and still achieve the expected results.

D) Compatibility

The HR department must check if the employee’s individual goals are compatible with the company’s goals. Extensive training, research, and implementation of company guidelines can ensure the recruitment of compatible individuals.

3. 9 Basic Principles Of Human Resource Management

All basic principles of Human Resource Management are the result of extensive analysis, research, and investigation. The cardinal principles of HR Management to be aware of are –

A) Principle Of Individual Growth

This factor is paramount in maintaining commitment and loyalty in employees. Any organization providing employees with equal opportunities to grow on an individual level also provides job satisfaction and security. It is the responsibility of the HR department to push employees to reach their maximum potential. 

B) Principle Of Right Selection

Recruitment is one of the most crucial responsibilities of the HR department. Nonetheless, they should also ensure that they find the right people for every job. When there is a mismatch at this fundamental level, all the other human resource principles fail. 

C) Principle Of Allowing Equal Participation

All employees must feel like they have a voice within the organization. It gives them an immense sense of ownership that automatically boosts performance and commitment. 

D) Principle Of Fair Pay

In the end, it all comes down to the remuneration that employees get for their role in an organization. The amount of work done and the responsibilities that the individual holds must determine the pay scale. 

E) Principle Of Incentives

Incentives drive employees to perform better. The HR department must review the performance of the employees regularly and reward them for performing well. 

F) Principle Of Dignity Of labor

Employees at all levels of Management should receive dignity and respect. It is among the fundamental principles of Management. 

G) Principle Of Labor-management

The HR Department is also responsible for adhering to labor laws and regulations. They must also be prepared to take necessary action in case of breach of these laws. 

H) Principle Of Teamwork

There should be regular activities and team-building workshops for employees of an organization. Inculcating a feeling of team spirit and helping the team set common goals will benefit the organization overall. It is the role of the HR department to keep a team motivated and also promote feelings of mutual respect and camaraderie among them. 

I) Principle Of National Prosperity

The HR department helps employees look at the bigger picture. In addition to contributing to an organization’s goals, it must also contribute to the National prosperity. In simple terms, when businesses do well, the economy does well. In the end, society benefits at large. 


All the principles of Human Resource Management reiterate the importance of this department in any organization. They are the key to holding the workforce together and helping them grow together as an organization. It is also their responsibility to ensure that every employee at all levels of Management feels a sense of security and satisfaction. 

Do you wish to become a Human Resource Manager? Jigsaw Academy’s People Analytics & Digital HR course is a 3-month online course that empowers the modern Human Resource Manager with advanced tools and techniques. Enroll in this certification program and turn your dreams into reality.

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