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Human Resource Management (HRM) is considered as the heart of a company.

This article tells you what this concept exactly is and why it is so important in every company...

Human resource management is a wide term and is based on the effective usage of workers and employees to accomplish the objectives of a company. It is present in each and every organization. There is no company or firm which does not have a human resource department. Its primary functions are to efficaciously utilize the talents and capabilities of employees to reach the planned operational goals of the company, and ensure that the employee is comfortable working with the company; and satisfied with the working conditions, and different policies regarding compensation and benefits which are offered to him. What is Human Resource Management HRM plays a very important role in managing, controlling, developing, and maintaining workforce which significantly contributes to the existence and profitability of the organization. They are in continuous contact with the top-level management of the establishment and are responsible for assisting the management for running the processes efficiently. They are also responsible for attracting skilled workforce, and carrying out recruitment and induction procedures, training and development, and settlement of the employee in a particular work environment he is comfortable in. Sections of Human Resource Management In most of the companies, there is a human resource department, which is further divided into two main sections depending on the type of functions and responsibilities they carry out. The first one is the HR administration section, which is responsible for taking care of employees' general work-related problems such as working conditions, extra work pressure, and conflicts between employees, bosses and the top management. Whereas, the other section is responsible for handling recruitment functions, training employees according to corporate policies, providing information about the company in induction sessions, corporate education, etc. In this way, they handle most of the functions in an establishment, as a result, the top management highly depends on them. There are some cases wherein the obligations of the HR department come into contrast with each other. There are few incidents where it is not possible to conclude an appropriate resolution which is suitable for both, the objectives of the organization and the wants or needs of employees. At this stage, the human resource department needs to be very careful on what decision it takes as it may

have an adverse effect on either the management or the company's workforce. This is where the skills, talents and abilities of the HR personnel come into act, who eventually satisfy the top management along with employees, maintaining a healthy corporate relationship between them. Whenever versatile departments in a company require qualified employees for working on projects, they approach the HR recruitment section who then starts their recruitment processes by calling potential candidates, sorting eligible candidates, conducting HR and functional interviews, and selecting candidates and introducing them as new joinees of the company. In this way, they provide the company with efficient workforce who can increase and maintain the quality of employee performance in the organization. They also handle disciplinary procedures; and employee motivational factors, health insurance, and retirement and profit sharing processes. As a part of the company, the HR department ensures that the decisions taken by them are according to the organization's rules and regulations included in the company information texts and handbooks. The HR personnel assist and guide employees in doubts regarding company processes such as leaves, holidays, insurance, income tax, etc. In this way the human resource management is very crucial in any organization, be it from the IT or manufacturing arena. However, there are many more functions and operations this department carries out and are important for smooth running of the company.

Benefits of Human Resource Management


Good human resource management (HRM) strategies make a lot of difference in the output of the employees. In this article, some of its benefits have been explained.

Human resource management involves managing people in an organization. The last few decades have seen some drastic changes in the strategies employed by various companies for this purpose. Earlier, it had limited functions which was mainly confined to paperwork related to hiring and payment of the staff in the company. However, now, it is understood that the most valuable resources of any establishment are its employees, as they play a crucial role in accomplishment of the aims and objectives of a business. Therefore, the focus of HRM is to deal with the manpower and all the decisions related to it that can have an impact on the productivity. Importance of HRM An organization cannot build a good team of working professionals without it. The key functions of the HRM team include recruiting people, training them, performance appraisals, motivating employees as well as workplace communication, workplace safety, and much more. The beneficial effects of these

functions are discussed here: Recruitment and Training This is one of the major responsibilities of the human resource team. The HR managers come up with plans and strategies for hiring the right kind of people. They design the criteria which is best suited for a specific job description. Their other tasks related to recruitment include formulating the obligations of an employee and the scope of tasks assigned to him or her. Based on these two factors, the contract of an employee with the company is prepared. When needed, they also provide training to the employees according to the requirements of the organization. Thus, the staff members get the opportunity to sharpen their existing skills or develop specialized skills which in turn, will help them to take up some new roles. Performance Appraisals HRM encourages the people working in an organization, to work according to their potential and gives them suggestions that can help them to bring about improvement in it. The team communicates with the staff individually from time to time and provide all the necessary information regarding their performances and also defines their respective roles. This is beneficial as it enables them to form an outline of their anticipated goals in much clearer terms and thereby, helps them execute the goals with best possible efforts. Performance appraisals, when taken on a regular basis, motivate the employees. Maintaining Work Atmosphere This is a vital aspect of HRM because the performance of an individual in an organization is largely driven by the work atmosphere or work culture that prevails at the workplace. A good working condition is one of the benefits that the employees can expect from an efficient human resource team. A safe, clean and healthy environment can bring out the best in an employee. A congenial atmosphere gives the staff members job satisfaction as well. Managing Disputes In an organization, there are several issues on which disputes may arise between the employees and the employers. You can say conflicts are almost inevitable. In such a scenario, it is the human resource department which acts as a consultant and mediator to sort out those issues in an effective manner. They first hear the grievances of the employees. Then they come up with suitable solutions to sort them out. In other words, they take timely action and prevent things from going out of hands. Developing Public Relations The responsibility of establishing good public relations lies with the HRM to a great extent. They organize business meetings, seminars and various official gatherings on behalf of the company in order to build up relationships with other business sectors. Sometimes, the HR department plays an active role in preparing the business and marketing plans for the organization too. Any organization, without a proper setup for HRM is bound to suffer from serious problems while managing its regular activities. For this reason, today, companies give a lot of stress for setting up of a strong and effective HRM.

Functions of Human Resource Management


The human resource department performs the challenging work of managing the company's most valuable asset - the employees. This article chronicles the various functions carried out by the HR department of a company.

Think human resources, and what comes to mind is the tough-as-nails Catbert, a character from the phenomenally successful comic strip, Dilbert. He's someone who "enjoys crushing the spirit of the company's employees", as the evil director of HR. As far as humor is concerned, everything needs to be taken with a pinch of salt, as with the character of Catbert, who manages to turn every employee's life into a nightmare with his devious policies. Of course, things are well-exaggerated and far from the truth in this comic strip. Nevertheless, the fact that so many find Catbert amusing, and identify with his behavior goes to show the kind of image that HR personnel have been laden with. It's unfair to associate their work with monstrosity, as a department used by the management to send out veiled reprimands. The HR department has a lot on its hands, and topping the list is the delicate task of acting as a liaison between the employees and the management. What follows is a brief description of the various functions performed by the HR department.

Functions of Human Resource Department 1. Recruitment


By far the most important of all the duties covered by the human resource team, recruitment takes up a large chunk of the company's priorities. Recruitment begins with making the company's presence

felt in the job market by advertizing vacancies, participating in job fairs, or hovering around the university circuit. Choosing the appropriate people from a large pool of applicants is a tremendous responsibility. This involves an acute sense of perceptiveness while sifting through the hoards of applications that come a company's way. After the shortlisting procedure is over, the HR department moves on to the task of scheduling and conducting interviews. Here, the HR managers have to assess the candidate on various levels, right from their educational qualifications and talent, to their character traits. They may also have to apply various methods of evaluation to zero in on the right people for the job. Conducting background checks on the selected candidates may also come under the aegis of the HR department.

2. Motivation
An important task that the HR department executes is motivating the employees to excel at what they do. Motivation for the employees, comes mostly in the monetary form. The HR department has to evaluate employee performances, and devise an appropriate rewarding system. This can include the following -

Equities Bonuses Increments Awards Complimentary vacations Flexibility in working hours

The HR team, through its motivational programs should seek to maximize employee retention statistics, and instill a sense of bonding among the organization and the employees.

3. Planning Growth
The HR policies, ideally, should be working in tandem with the company's policies. However, this may not always happen. Nevertheless, the HR department has to ensure that there is minimal conflict of interest, and that everyone contributes to the overall success of the company. Human resource is the biggest asset of any organization, and it is up to the HR team to make the most of it by implementing training programs to better the employee performance, and ensure that each employee strives to utilize his/her optimum ability. This can be done by promoting interaction among the employees that results in a healthy exchange of ideas and cultivates a good working environment. Also, employees must be encouraged to be more proactive when it comes to devising ways to increase the output.

4. Implementing HR Policies
HR policies cover employee safety and welfare. The HR team has to oversee all aspects of rendering a safe and healthy environment for the company. This includes periodic checks of all equipment, materials, and work spaces.

They also have to implement various employee welfare schemes that offer assistance to employees at different levels. These may include maternity/paternity leave, work-from-home options, insurance schemes, employee welfare funds, recreational activities, etc. Promotions, transfers or expulsion of services are also tasks handled by the human resource department. Promotions are conducted and are predominantly based on the overall performance of the individual, accompanied by the span or tenure he/she has served the organization. The human resource department also looks at lowering the attrition rate in the company by introducing policies that offer a good working environment with suitable remuneration.

5. Establishing Fair Work Culture


It is usually the HR team that has to deal with and sort out employee grievances. At times, if situations get aggravated, the company or the employee may take the legal discourse to settle disputes. An important function of the HR department is to iron out the disputes and differences in an amicable manner, as far as possible. However, complaints involving malpractice, treachery, fraud, harassment, etc., should be dealt with in the appropriate manner, in line with the company's policy. The HR department has to ensure that discrimination of any kind does not exist in the workplace. The employees and members of the management should be made aware of the existing anti-discrimination policies. They have to see to it that every person working for the organization is treated on a fair and equal platform. The HR department functions with the primary aim of motivating and encouraging the employees to prove their mettle and add value to the company. This is achieved via various management procedures like workforce planning and recruitment, induction and orientation of hired task-force, employee training, administration, and appraisals.