Guest Model of HRM by David Guest – Human Resource Management

✅Topic - Guest Model of HRM
✅ Models of HRM
✅ Human Resource Management

✅ Useful for - Students of MBA, M.Com, B.Com, BBA, Management, Commerce, HRM, UGC NET (NTA NET), JRF, HR Officer IBPS, PSUs, UPSC Management Optional and every lover of Human Resource Management (HRM).

▶In this video, we have discussed the Guest Model of HRM. This is part of Human Resources Management (HRM).

Guest Model of HRM

00:00 Introduction
01:11 HRM Strategy
02:00 HRM Practices
02:20 HRM Outcomes
02:40 Behavioral Outcomes
03:20 Performance Outcomes
04:08 Financial Outcomes
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The Guest Model of HRM was introduced by David Guest in 1987. This model is a blend of the "hard" and "soft" approaches or models of HRM. It emphasizes the strategic and integrated nature of HRM. It contrasts with traditional personnel management by focusing on long-term strategic objectives and the alignment of HR practices with overall business goals. The model consists of several key components, each contributing to organizational effectiveness. Here’s an explanation of the Guest Model and its components:

(1) HRM strategy- This component involves the formulation of HR strategies that align with the overall strategic goals of the organization. It includes policies and plans that guide HR practices in areas such as recruitment, training, performance management, and employee relations.
Differentiation (innovation)
Focus (quality)
Cost (cost- Reduction)

(2) HRM practices- HRM practices are the specific methods and activities used to implement the HR strategy. These include recruitment and selection processes, training and development programs, performance appraisal systems, compensation and benefits, and employee engagement initiatives.
1. Selection
2. Training
3. Appraisal
4. Rewards
5. Job design
6. Involvement
7. Status and security

(3) HRM outcomes- HRM outcomes refer to the immediate effects of HR practices on the organization and its employees. These outcomes include high employee commitment, quality of work, flexibility, and reduced absenteeism and turnover.
1. Commitment
2. Quality
3. Flexibility


(4) Behaviour outcomes- Behavioral outcomes are the changes in employee behavior resulting from effective HRM practices. These include increased cooperation, involvement, motivation, and overall job satisfaction.
1. Effort/
2. Motivation
3. Cooperation
4. Involvement
5. Organizational citizenship


(5) Performance outcomes- Performance outcomes measure the impact of HRM on organizational performance. They include higher productivity, improved quality of products or services, innovation, and financial performance.

High: Productivity, Quality, Innovation

Low: Absence, Labour turnover, Conflict, Customer complaints


(6) Financial outcomes- Financial outcomes are the ultimate economic benefits resulting from effective HRM practices. These include increased profitability, return on investment (ROI), and cost-effectiveness.
1. Profits
2. Return on investment

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