7 Reasons why the Human Resources Department is Important

Instructions

• 1

  Employing Qualified People:
  
  Having a productive workforce is very essential to an organization. Hiring the right people at the right time with the right skills and and at the right cost is very important, because a competitive workforce will be essential for achieving the short and long term goals and objectives of the organization.
• 2

  Control of Capital:
  
  Human resources manages the outflow of money by coming up with strategies for controlling workforce management costs, such as negotiating favorable rates for benefits like health care insurance.
  
  Also, human resources ensures competitive and realistic wages or salaries based on studies of the labor market, employment contracts and salary analysis, based on job specification. If an organization is struggling with cash, the HR function could be of help.
• 3

  Resolving Conflict:
  
  An organization consist of people. People with different perceptions, personality and attitude and there is usually no way to avoid conflict between employees or managers. But there are always ways to resolve them.
  
  A human resource person, who is an expert in human relations issues, can identify the reason for conflict between two employees or a manager and then find a way of resolving it.
• 4

  Training & Development:
  
  Human resources provides opportunity for training and development for employees that need to improve their knowledge and skills. It is more cost effective to train and maintain a staff than to hire a new one. This part of HR reduces labor turnover and increases employee retention.
• 5

  Employee Satisfaction:
  
  Human resources is responsible for determining the level of employee satisfaction, with carefully designed strategies. An employee with job satisfaction can be very productive and resourceful for an organization.
  
  On the other hand, an employee with job dissatisfaction can be a threat to an organization. Human resources specialists can identify the reasons for dissatisfaction, and address those issues to motivate employees.
  
   
• 6

  Performance Improvements:
  
  Good human resources departments come up with resourceful performance systems. Performance appraisal is a key strategy to determine the level of performance of every employee and helps to show where training and development is needed.
  
  It also helps managers to know the capabilities of their employees and makes it easy to allocate tasks. This part of HR helps managers to plan for future goals.
• 7

  Brand Image:
  
  Every organization wants to be perceived as a good organization from stakeholders, both internal and external. They want to receive recognition for the way they treat their employees, in order to attract more specialized practitioners for the development and competitive advantage of the organization.
  
  In this case, being recognized by people as being an employer of choice means human resources has done a great job of the recruiting the most qualified applicants, selecting the most suitable candidate and retaining the most skillful employees.
• 8

  Conclusion
  
  Human resources plays an essential role in every organization, helping employees to adapt to the ethics, values and culture of the organization.