The strategic management of people who either individually or collectively or in both ways, contribute to the progress of an organization and to the achievement of its long and short term objectives; can be rightly called Human Resource Management. The people at the department of Human Resource Management realize that all the employees of the organizations have their own individual personalities, perceptions, goals, preferences and so they cannot be perceived as a whole. They realize that a company must be aware of the needs of its employees and also, understand and evaluate these needs in order for the employees to perceive their jobs as their duty and not merely as an obligation. HR Management helps the organization to achieve its strategic goals by attracting, retaining and developing employees. The significance of this department is discussed as follows: Utilization of human and non-human capital. The human resource department makes the company realize the importance of the human capital in respect to the company’s economy. Human capital is particularly important for smaller firms as the employees, quite often, perform cross-functional duties.
The HR department teaches the organization how to utilize this human capital as well as the non-human one and so, the organizations, who aim to efficiently utilize their resources and increase the profit invite the HR management people to formulate required objectives and policies.Training and Development of Human ResourcesHR management conducts surveys and observes the employees to assess their needs to determine the type of training and development needed for the current workforce of the organization to enhance their caliber to work and achieve their respective objectives and targets. Small scale companies or the companies in their starting phase can benefit immensely by training their existing employees instead of recruiting additional work-force. In-house practical training, executive education available in most of the business schools, etc are important tools of training and development of employees.Employee satisfaction
After gauging the individual needs and preferences of the employees, the specialists of HR management provide them with a series of facilities and opportunities for their career development leading to job satisfaction and commitment on their part. The HR people are also in charge of measuring the amount of employee satisfaction and they also determine the causes of employee dissatisfaction and address the issues to motivate them to perform better.
Employees can end up doing jobs that aren’t suited to their skills and expertise without proper planning on the part of the HR people who measure and evaluate their performances. The staff of the company is communicated the necessary information regarding their performances and also defining their roles in the company. Taken on a regular basis, performance appraisals motivate the employees immensely.
Resolution of conflicts
Given the diversity of personalities, work styles, backgrounds and levels of experience, there are several day-to-day issues on which disputes may arise in an organization either among the employees or between employees and employer. In these inevitable disputes, the HR managers act as both consultants and mediators. By hearing the grievances of both the parties, they identify and resolve the conflicts and restore positive working relationships.
Hr management has the responsibility of developing good public relations as well as maintaining the goodwill of the company among other public sectors. The corporate image of a business is built on the way they treat their employees because those are the companies in which people trust and also for which they want to work. Sometimes the HR department also plays an active role in preparing marketing plans of the company.
Every other day the companies face new challenges and these challenges never seem to cease emerging. To overcome these, the proper use of human resource techniques is inevitable as without a proper HR setup, any company is bound to suffer while managing its regular activities. This department helps to improve not only the quantitative goals but also their organizational culture and their cognitive aspects. Hence, a strong and effective Human Resource management has become a must for any company today.