For small businesses and large corporations alike, the human resources department is important for business success. Human resources performs more duties than simply handling the open enrollment season once a year or processing payroll on a bi-weekly basis. Instead, this department helps to develop a company’s strategy and handles the organization’s employee-centered activities.
1. Budget Control
The HR department develops methods for trimming the costs associated with workforce management, thus curbing excessive spending and helping to save the company money in the long run. These methods may include negotiating better rates for employee benefits such as healthcare insurance.
In addition, the HR department studies and analyzes employment trends, the labor market and salaries based on job functions to ensure the company’s wages are competitive and realistic. Since some small businesses have strict budgets to which they must adhere, this function of the HR department is particularly helpful.
2. Employee Satisfaction
For better or worse, the HR department has the responsibility of determining whether employees are satisfied, not only with their supervisors but also the job and related duties as well. Since it can be difficult to measure satisfaction as it is an ambiguous measurement at best, HR specialists must carefully design employee surveys, oversee focus groups and implement an exit interview strategy to determine how the company can improve in relation to its employees. In other words, the HR department determines the causes and/or reasons behind employee dissatisfaction for current or previous employees and addresses those issues in the best way possible to boost morale and motivation throughout the company.
This is a very important function performed by the HR because job satisfaction is the whole force behind better performance. There may be some employees who feel unhappy with the limitations imposed on them. For small businesses and large corporations alike, the human resources department is important for business success. Human resources performs more duties than simply handling the open enrollment season once a year or processing payroll on a bi-weekly basis. Instead, this department helps to develop a company’s strategy and handles the organization’s employee-centered activities. Employee Satisfaction. This is a very important function performed by the HR because job satisfaction is the whole force behind better performance. There may be some employees who feel unhappy with the limitations imposed on them by their current job position, thus developing a feeling of job dissatisfaction which can even lead to them leaving the company.
It is upto the HR to recognize the latent capability and ideas of such individuals and must aim to keep them at the organisation. Although it is important to ensure that all employees have the qualifications and skills necessary to meet the demands of a position, new companies or businesses in the expanding stage may especially benefit from identifying training needs for existing employees. Companies often task this responsibility to the HR department because it is less expensive for these specialists to handle training and development than it is to hire more qualified candidates or additional staff.
In addition, this strategy may also improve employee retention and thus reduce poor performance (the performance improvement role of HR is elucidated further, below).
3. Training and Development
The HR Training and Development Manager is responsible for the organization’s staff training requirements, programs, and career development needs. They supervise training staff, plan and administer training seminars, and manage conflict resolution, team building, and employee skill evaluations.
The HR Training and Development Specialist plans, produces and administers staff and management training programs. They conduct programs to develop employee skills in accordance with organization practices and policies. Additionally, they research and evaluate training resources, as well as suggest new topics and methods. Most organisations look at training and development as an integral part of the human resource development activity.
The turn of the century has seen increased focus on the same in organisations globally. Many organisations have mandated training hours per year for employees keeping in consideration the fact that technology is deskilling the employees at a very fast rate. With technology creating more deskilled workers and with industrial workers being replaced by knowledge workers, training and development is at the forefront of HRD. The onus is now on the human resource department to take a proactive leadership role in responding to training and business needs.
4. Performance Improvement
Yet another responsibility of the HR department is the development of performance management systems.
HR must ensure a positive employer brand, create initiatives that increase employee engagement and productivity, and establish relationships between the company and employees beyond just their tenure at the organization. Because HR has so much to do, improving existing employee engagement and productivity is not always given top priority.
Often, HR leaders are focused on attracting new talent by designing bonus programs to keep compensation up-to-date with current market trends, and focusing on training and recruiting programs. Beyond attracting talent, HR departments can help keep recruiting and hiring costs down by focusing on keeping current talent productive and providing programs that encourage both personal and professional growth.
For a solid productivity plan to work, companies should be focusing on accomplishing future goals with strategies that increase employees’ overall productivity. HR can make employees happier and more productive by promoting positive and enjoyable work environments that help retain talent.
HR managers should also measure productivity by managing objectives, benchmarks and targets, sales productivity, and more. Once you’ve made sure that your employees are doing their job well, you will see great changes within your company and even find that the sales of your business will increase.
From improving company morale and developing methods to ensure high performance standards to resolving conflicts among employees and ensuring a company stays within its budget, HR remains a major player in the running of an organisation.
Abhisheks blog 