Why HR is Important

In today's competitive environment, businesses must focus on improving productivity and efficiency. To do so, they must ensure that their human capital is properly managed. A well-managed workforce will help your company achieve its goals. This is where HRM steps in - HR managers understand and address what needs to be done and who should be doing it. They also must ensure that everyone has access to the tools and training required to perform their jobs.

What Does an HRM Do?

As put by Edward L. Gubman in the Journal of Business Strategy, 

"The basic mission of human resources will always be to acquire, develop, and retain talent; align the workforce with the business; and be an excellent contributor to the business. Those three challenges will never change."

HRM structures vary from business to business and are defined by the type and values of the business they serve. Some key responsibilities of the HRM department are:

Recruiting New Talent

HR managers play an important role in hiring and recruiting the best talents to help build the company's future. The HR department oversees these processes and may work with a supervisor to learn about the requirements of an open position. Then, they create and execute a recruiting strategy, which includes job postings, monitoring the applicants' resumes, and managing meetings. 

Training of Employees

Another key responsibility of an HR manager is to create employee development strategies. This can include providing employees with professional development courses, educational programs, on-job training, and similar opportunities that allow employees to develop in their roles or prepare them for career promotions. This can increase employees' productivity and job satisfaction since they understand the business is also investing in their development.

Communications and Relations

HR managers ensure employees and employers have a positive dynamic and are on the same page. They make sure both parties see each other as mutual contributors to the growth of the business. The HRM helps to settle any disagreements and miscommunications amongst the employees or between the employee and employer, and strives to create positive relations in the workspace. Positive relations result in increased productivity, allowing employees to feel engaged with their work and their company.

Maintain Business Culture

HR managers must ensure that the organization's culture remains stable and solid over time. During the hiring process, HR managers share the organization's visions and values with the employees to introduce them to the general culture of the organization. HR managers can also maintain the company's culture by defining reward systems for employees, engaging in community building, and effectively addressing any shortcomings within the company.

Measurement of work performance

The HRM department is responsible for evaluating employees' performance and giving them feedback on it, both positive and negative. Performance is the primary factor in determining promotions, salary increases, and dismissal. Therefore, measuring performance is very important for the business and the employee. HR managers may define and use a KPI (key performance indicator) to evaluate activities' quality and measure employees' performance.

Provide Employee Benefits

Employee benefits are non-financial reimbursements offered to employees aside from their salary. The HR manager oversees these benefits, which can range from gym reimbursements, employee assistance programs, holidays, health insurance plans, and more. Regardless of what benefits the organization offers, managing them is one of the responsibilities of the HRMs. 

Handle Regulations and Disciplinary Issues

The HR department needs to ensure the organization is acting under the law and is avoiding any legal complications. They may consult with a lawyer to ensure the company avoids subsequent lawsuits or other regulatory issues. 

HR managers are responsible for handling disciplinary procedures and need to use a system to hold employees accountable. An example of such systems is a system that starts with a warning notice and gradually increases in intensity with demotions.

Create a Safe Work Environment

The HR department is responsible for providing a danger-free working environment. HR uses worksite analysis and hazard prevention to ensure the workplace is safe for the employees. Also, HR managers create and maintain a work environment that promotes the respect and dignity of employees. They must ensure the employees are protected from harmful behaviors such as harassment, intimidation, and discrimination.

Types of HRM Functions

There are four main categories of HRM practices: recruitment, training and development, motivation, and retention. 

1. Recruitment: Involves finding and selecting qualified candidates who will work for the company.
2. Training and Development: Includes a continuous process in which employees are taught technical knowledge and develop in their positions. 
3. Motivation: Keeping employees productive and motivated. It is achieved by providing employee benefits and rewards. 
4. Retention: Making sure the employees are committed and stay in the company. 

Qualifications and Skills of HRM

There are two main categories of HRM skills: technical and managerial. Technical skills involve using software applications to manage employee records, such as payroll, benefits and leave requests. Managerial skills focus on managing people, such as hiring, firing, and training. Some of the key skills required of an HRM are: 

• Communication
• Finance
• Empathetic skills
• Business management
• Decision-making
• Leadership
• Strategic thinking
• Active listening
• Conflict resolution

HRM is a complex field that requires specialized knowledge and skills. To become qualified as an HR professional, one should complete at least a bachelor's degree in business administration, human resources, or other related fields. In addition, several certification programs are available to help professionals develop their expertise in HRM. 

Benefits of having an HRM at your company

There are several benefits to implementing human resource management practices in your organization:

1. It ensures that your employees are happy with their job and feel valued by the company.
2. It allows you to make sure that your employees are getting the proper training and education so that they can be more productive.
3. It helps you keep track of employee performance and identify areas where improvements can be made.
4. It makes sure that your employees are paid correctly and on time.

HR plays a crucial role in developing and changing a company's culture and can shape the company's future to meet its desired goals.