Human Resources (HR) are the lifeline of an organization. No organization can accomplish its objectives without the presence of competent personnel. Human Resource Management (HRM) is the body of science that correlates the existence of able HR and the success of the organization. It is evident from different theories propounded by various social scientists regarding the impact of motivated employees on the profit margins of the organization. HRM as a body of knowledge has seen different changes over a period of time. HR profession had started its role as labor/welfare officer and is now viewed as a strategic role where the emphasis is on employee engagement. Developed and developing nations alike have depended largely on Small Scale Industries (SSIs). Traditionally, SSIs have played a major role in the GDP of any economy. They have lion's share also in the context of Indian exports. There are different advantages of having economy which is supported by entrepreneurs spread across the country. There is no denying the fact that large organizations are looked after by professionals from varied fields. Historically, it is said that SSIs are handled by non-professionals and are managed as family business. It is natural to think that these entrepreneurs are unaware of the developments that are taking place in management field, generally, and HRM, specifically. This study aims at dislodging these myths with the help of testing of hypotheses, but in no way concludes the HR practices being implemented in their organizations.

Businesses and organizations rely on three major resources: (1) Physical resources, such as materials and equipment; (2) financial resources, including cash, credit and debt; and (3) human resource or workers. In its broadest sense, Human Resource Management (HRM) refers to management of all decisions within an organization that are related to people.

According to Boselie (2002), "HRM involves management decisions related to policies and practices which together shape the employment relationship and are aimed at achieving individual, organizational and societal goals". The definition provides us the clear cut areas of operation with reference to the field of HRM. A more pragmatic definition given by Schermerhorn (2001) is that "HRM is the process of attracting, developing and maintaining a talented and energetic workforce to support organizational mission, objectives and strategies". The definition provides the functions of the HRM profession.

HRM is treated as the lifeblood of an organization. Organizations have realized the importance of human capital. This is a recent phenomenon and the functions have gradually changed its role. HRM concerns itself with anything and everything regarding human factor in the organization.

HRM is not a recent phenomenon as far as developed nations are concerned. Its seeds can be traced back to three decades. The field of study of HRM has evolved over a period of time. HRM is a new avatar of the terms that we are well-conversant with, viz., industrial relations, personnel management, etc. There has been periodical shift in the function and scope of the area. It is now regarded as a `profit centre head', with emphasis on the investments and returns on those investments on the human capital in the organization. HR strategies are now linked with business level strategy and are now termed as strategic HRM. Table 1 provides enough food for thought with reference to the development of HRM.

Management Research Journal, Human Resource Practices, Nagpur SSIs, Human Resource Management, HRM, Financial Resources, Organizational Mission, Personnel Management, Small Scale Industries, Small and Medium Enterprises, SMEs, Small Business Administration, Gross Domestic Product, GDP, Small Scale Sectors, Socioeconomic Development.