The Role of Human Resource Management

542 Words3 Pages
What is the Role of Human Resource in a Company and how can it Contribute to the Success of Business The human resource function has gone from the traditional hire and fire role to a strategic partner at the table with finance, operations and other business centers that are not centers of profit for the organization. The job of HR, as is the job of all such departments, is to ensure that the business gets the most out of its employees. Another way to put this is that the human resource management needs to provide a high return on the business's investment in its people. This makes it a highly complex function - because it deals with not just management issues but human ones as well. These 2 polarities are not always easy to balance and the human resource managers specifically try to maximize output from employees by instituting various schemes and policies. The following are some of the functions handled by the human resources team. Handle compensation and rewards:- Human resources are responsible for tying incentives and rewards to certain positions and roles in order to maximize performance levels. This is a strategic thinking task because it affects every single person in the organization and has to be planned separately for each position, depending on level, department and goals. Some jobs need to be more goal driven, such as sales so salary can be basic but commission can form the bulk of the remuneration, leading to more incentive to work effectively and close sales. Some firms tie top management's salary to stock price but this can be risky. It is up to human resources to structure this important aspect to everyone's satisfaction. Recruitment:- Another important task handled by the human resource function is the selection and retention of employees. If the right type of employees does not enter the organization, its days are numbered, because
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