Human Resource Management – Why is HR Function Important?

The Human Resource Department connects each and every employee directly with the organization on the whole. As simple as the HR function seems, it’s actually very deeply integrated within the organization and has a major influence on the overall productivity enhancement in the workplace.

General HR functions

Human resource management or the HR function on whole includes activities and policies that help coordinate and facilitate the organization and the people working within to strive for and achieve a singular goal. This goal is often the mission of the organization too.

People – the biggest resource

Human resource management sees people as assets. The term human resource itself is based on the idea of human capital, according to which the employees of an organization are considered a major resource. Therefore, this resource is managed by HR the way other resources are managed – by focusing on increased productivity and efficiency, as much as possible.

Facilitating Communication

HR department facilitates communication between the employee and the organization. This communication moves from the management/organization towards all employees in the form of policies, regulations, and job descriptions, and the other way round in the form of work engagement reports and employee feedback. This chain of communication helps create an open, efficient workplace.

Employment Lifecycle

Everything from hiring to firing. The HR function involves every step of the employment lifecycle. It starts at recruitment and hiring, where the best possible candidates are picked for the job, and then on-boarded with proper orientation. The employee is then trained if needed, which is also one of the functions of HR. Promotions, resignations, and terminations are also handled by the HR department. Human resource is generally also involved in controlling turnover rates, so that good employees can be retained.

Training and Development

Human resource management doesn’t involve just managing the human resource, it also involves its development. The HR department is responsible for the overall training and development function of the organization as well. Capacity building and technical training are important for building and maintaining a productive workforce.

Transformation and Change

The HR department basically keeps stock of all the competencies, qualities and knowledge that the employees in that organization possess. These qualities can be enhanced (through training and development), and also be encouraged and nurtured, which is only possible through a dynamic and evolving organizational environment. The HR function involves making sure the organization is evolving with times.

Organizational Processes

Streamlining organizational processes is the biggest way to save both time and resources. Proper HRM techniques and strategies greatly help in cutting the time spent in tedious and often outdated organizational and management processes. The HR department concentrates on developing a better competitive advantage by streamlining and reengineering organizational processes.

Ethics and Laws

Human resource management also involves keeping the organizational policies up-to-date and making sure labor laws and anti-discrimination and harassment laws are respected, with organizational and HR policies respecting that. Moreover, the HR function involves making sure business ethics are in play throughout the general working of the organization. The HR department also liaisons with labor unions in organizations where they are present (for example manufacturing).

Do you have anything to add regarding the importance of HR function within an organization? Is your organization or HR department in need of more assistance handling HR related challenges? Contact IKTAR now.


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