Human Resource Management in Service Organisations

Human resource management (HRM) is the strategic and coherent approach to the management of an organization's most valued assets - the people working there who individually and collectively contribute to the achievement of the objectives of the business. Currently HRM has unprecedented level of growth. Traditionally small business organizations and traditional organizations rarely followed the human resource management approach. Liberalization of economy and the multinational company’s growth lead to the formal growth of the human resource management division in most of the organization. Constant growth of service industries in the last two decades provided opportunity for the growth of the professional employment service organizations. Apart from organizations’ department professional service organization are facilitating organizations to take care of their activities. This paper is attempted to analyze the new challenges witnessed in the service industry with regard to human resource management. It also analyses how effectively utilize human resources effectively and two important issues were discussed. It also discussed the employee’s expectations in the service industry.