The concept that recognizes that businesses are social organizations as well as economic systems and that productivity is related to employee job…

Answer option A is correct.

The concept of human relations was first introduced in the 1920s and challenged previous

assumptions that people work only for economic reasons and could be motivated to increase

productivity simply by increasing monetary incentives. Human resource management (C) is the

business function responsible for activities related to attracting and retaining employees, including

workforce planning, training and development, compensation, employee and labor relations, and

safety and security. Strategic management (B) is the process by which organizations look for

competitive advantages, create value for customers, and execute plans to achieve goals. Human

resource development (D) is the functional area of human resources focused on upgrading and

maintaining employee skills and developing employees for additional responsibilities. See Chapters 2

and 5 for more information.

Chapter: Core Knowledge Requirements for HR Professionals

Objective: Human Relations Concepts