The very concept of Human resource management has changed tremendously in the recent past as it has taken a new form and shape that embraces each and every activity of the organization, as every activity requires human intervention. Human resource has become the most important of all the resources from the point, where it was merely one of the many resources. What has caused this great transformation? What has made firms realize that manpower is the most important of all resources to the extent of including human resource in their accounting as assets!

A thorough analysis of the evolution of human resource management clearly indicates the exceptional quality of manpower, especially managers to tackle the very many challenges that come on their way. A manager who was merely a reporter to the top level management has now become indispensable. The laborers whether skilled or unskilled cannot be treated the way they were treated earlier, as the introduction of many labor laws support their cause. The legal framework guides the organization in terms of pay scale, bonuses and increments and supports the workers in their welfare, security and safety.