HRM Challenges in the Era of Improving Economy

ABSTRACT Arrangement of basic needs, such as food, cloth, shelter, job, comfort and development, for all the citizens of a country is an essential and fundamental duty of the governance of a state. Money is one of the basic economic factors that play a key role in the management of basic needs and other resources. Money is involved everywhere starting from basic human needs to complicated economic processes. Money is a declared convertible instrument that originates from the human effort, natural resources or combination of both. For the survival of individual, family, group, business or nation, there is need of money. Only the continuous, persistent and requisite flow of money can help an economy to run its affairs effectively. Because of shortage of money in an economic system, the process of demand and supply of goods & services as well as other economic factors such as GDP, employment, production, price stability, import and export etc. get badly affected. A best and effective economic system will maintain the optimum level of money circulation in the market. Surplus circulation may lead to wastage of funds and short supply will hamper the economic growth of the country. Present paper will study and explain the improving Indian economy from slowdown and its consequent effect on the Human Resource Management and how HRM can face these challenges.