Following are the elements of Personnel Management:

1. Organization- Organization is said to be the framework of many activities taking place in view of goals available in a concern. An organization can be called as a physical framework of various interrelated activities. Right from manpower planning to employees’ maintainance, all activities take place within this framework.

   The nature of the organization is dependent upon it’s goal. The business concern goal being profit- making. Clubs, hospitals, schools,etc. their goal being service.

   The objective of consultancy being providing sound advice. Therefore, it is organizational structure on which the achievement of goals of an enterprise depends upon. In personnel management, a manager has therefore to understand the importance of organizational structure.

2. Job- The second element, i.e., jobs tell us the activities to be performed in the organization. It is said that the goals of an enterprise can be achieved only through the functional department in it.

   Therefore, seeing the size of organization today, the nature of activities are changing. In addition to the three primary departments, personnel and research department are new additions. Various types of jobs available are:

   1. Physical jobs
   2. Creative jobs
   3. Proficiency jobs
   4. Intellectual jobs
   5. Consultancy jobs
   6. Technical jobs

3. People- The last and foremost element in personnel management is people. In a organizational structure, where the main aim is to achieve the goals, the presence of manpower becomes vital. Therefore, in order to achieve departmental goals, different kinds of people with different skills are appointed. People form the most important element because:
   1. The organizational structure is meaningless without it.
   2. It helps to achieve the goals of the enterprise.
   3. It helps in manning the functional areas.
   4. It helps in achieving the functional departmental goals.
   5. They make a concern operational.
   6. They give life to a physical organization.

   The different types of people which are generally required in a concern are:

   1. Physically fit people
   2. Creative people
   3. Intellectuals
   4. Technical people
   5. Proficient and skilled people

In personnel management, a personnel manager has to understand the relationship of the three elements and their importance in organization. He has to understand basically three relationships:-

1. Relationship between organization and job
2. Relationship between job and people
3. Relationship between people and organization.

Relationship between organization and job helps making a job effective and significant. Relationship between job and people makes the job itself important. Relationship between people and organization gives due importance to organizational structure and the role of people in it.