How Human Resource Management Benefits Your Company

A lot of times, the entrepreneur and the management team forget to include one of the most important elements when developing and implementing the business plan of the company. The Human resources staff does not have a say or a hand in the planning process.

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That is why when the time comes to implement the company’s marketing, finance, manufacturing, and sales strategies, the management team often have difficulties achieving their business plan because they lack people who possess the right proficiency and ability. Hence, it is highly important for a company to align their business strategies and tactics with the HR strategies to help the company accomplish whatever goals they have in their business.

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Human Resource Management and Its Functions

There have been a lot of debates regarding the significance of the human resource management in companies. Over the past few years, employees have regarded the HR management as the lookout and systematizing arm of the company’s executive management. The HR often imposed strict HR policies that can be traumatizing to the employees. Oftentimes, the HR staff is considered by the employees as gatekeepers of the company who can fire them anytime and hold less compassion in most of the employees’ concerns.

On the brighter side, not all employees regard the HR management as something negative. The HR management has a lot of functions that are beneficial to the employees. But before you judge the HR staff in your company, it would be smart to get to know what a human resource management is.

According to the article that is published on Wikipedia, “Human Resource Management (HRM or HR) is the management of human resources that are designed to maximize employee performance in service of an employer’s strategic objectives. HR is primarily concerned with the management of people within the organization, focusing on policies and on systems”. The essential functions of the HR management include:

Recruitment and Selection

Every company requires someone who can effectively help and manage the recruitment process of hiring a new pool of potential employees. A since the recruitment can be a long process that includes attracting, screening, and choosing qualified applicants based on the job descriptions and qualifications set by the company, having a competent HR staff can help you to effectively weed out unqualified applicants from the qualified ones. In order to successfully hire highly qualified candidates, the HR department should have a feasible recruitment strategy. Moreover, the HR staff has the right know-hows in terms of forecasting employees while not sacrificing the budget plan, as well as both long and short term goals of the company. Hence, having the right HR management is an effective tool that you can use in reducing costly mistakes of hiring unqualified and incompetent employees.

Providing Employee Orientation

One of the most crucial functions of the HR management is to provide a comprehensive orientation to new employees. Without an orientation, the new employees will have a difficult time adjusting to the new employer and environment. Most often, the orientation program provided by the HR staff include the objects and goals of the company, as well as strategies on how new employees can achieve their short and long term goals and be an asset to the company. It also provides them with a clear overview of what to expect and how to take on their roles in the organization.

Ensures Good Working Environment

It is not the responsibility of the employer to provide employees with a good working environment, rather, it is the responsibility of the HR management. By providing a good working condition, employees, both old and new, feel motivated and energized to work. Hence, it is no secret that when employees feel motivated and energized, they are likely more able to achieve their short and long term goals. Additionally, employee welfare is another responsibility that must be effectively managed by the HR staff.

Promotes Good Employee Relation

When all know that employees are the backbone of every company because they are the ones who perform and ensure that the operation runs smoothly as possible. And while employee relationship is an extensively broad concept, it is one of the essential human resource management function to ensure building and maintaining it in the organization. Being able to promote a good employee relationship can effectively influence proper behavior and high-level of work outputs.

An effective approach to establishing a good relationship with the employees is by organizing activities can help the HR staff know their employees not only professionally, but also personally. Most often, strategizing employee relationship can result in a healthy and balanced employer-employee relation, which is crucial for the success of the company.

Employee Training and Development

Providing regular training is vital for the development and improvement of the employee’s present or future work performance. Through proper training action plan, the HR management does not only ensure an increase in the ability of the employee to function well in his or her duties and responsibilities, but also help them discover new skills and knowledge.

Reasons Why an HR Strategy is Important in Business

Although the Human Resource is just one of the departments in a company, it can have a huge impact on the success of your business. As an entrepreneur, it is important to know that business success greatly depends on the people working in our organization that is why it is highly important to have an effective HR strategic plans not only to ensure that your company is hiring the right employees who can adhere to the company policy, objectives, values, brand, and culture.

In this section, we have listed a rundown on how an HR strategy can be the prime mover of your company to success:

Provides Clear Job Descriptions

Having a clear and well-defined job description is an effective way to make the right applicants respond to your job posting. That is why it is significant for the HR managment to always include providing clear job description as one of their recruitment plan and strategy. When it is clear for applicants how they can effectively fit in and function in the organization, there will surely be greater job satisfaction and commitment.

Develop a Culture of Success in Your Business

Most often, job applicants do a research on your company before applying. That is why you have to make sure that your HR page in your website will effectively and successfully set the right tone and impression of your business culture, as it will be a deciding factor for the applicants to whether your company is the perfect place to work in or not.

Attract the Right Talent

Having employees to work in your company is not the same as having the employees with the right talent to work for you. Since there are a lot of competitors who are aiming to attract talented and hardworking individuals to their company. In order to stand out from your competitors, your HR strategy should convey the similar goals and principles with the applicants, as well as support the vision of your company.

Assess Applicants Based on Your Company Goals

It cannot be avoided that you will encounter applicants with comparable skills. In order to determine the success of your recruitment process, you will need to know if a certain applicant can fit with your company goals. Your HR strategy should effectively provide the hiring managers with clear guidance on how to assess and evaluate an applicant’s organization fit by identifying the essential goals that characterize your company.

Keep Employee Engaged

One of the major impacts of the HR in your company is their ability to connect and understand the opinions and feelings of the employees across all levels. So early-on your recruitment process, it is highly critical to achieve potential employee engagement so that it will be easier for the company to capture the heart and minds in the long term. When you successfully engaged employees, you can easily leverage your strategy to a blueprint for success.

Maintain an Open Communication Line

We all know that communication is perhaps one of the most important components for the success of a business. This is one of the reasons to include in your HR strategy a clear and open communication line among the members of the organization. Let us take for instance that the business management team is responsible for making the employees feel like they are the company’s partner in achieving growth and success by communicating and making employees understand the objectives, goals, and production target of the company. On the other hand, it is the responsibility of the HR management to communicate any concerns and issues of the employees to the business managers so that the managers will able to study the issues and provide remedies and solutions without the need to sacrifice the profit and productivity of the company.

Final Thoughts

Although you may not be thankful every day by the amazing functions of the HR management, it is important to remember that without their contribution, the company would less likely to succeed. You may also want to check and download our HR guideline templates before you leave.

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