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Article: v1-HR-IHRM-00007

Purpose of having a human resource department


For any business these days, scaling the heights of success is not always an easy task. This is because today's corporate world has become extremely complex and intricate. For any business to succeed nowadays it is very important that the organization's employees play a key role. This does not only refer to employees doing the best job possible, but it also means that every employee must be right for the job that they are doing. What this translates into is that every employee who is working at his or her own position is the best possible candidate for that job.


While all this is easily possible in a small business organization, it is very difficult to accomplish in big businesses. The reason behind this is that big companies have very little direct contact between their top management executives and their regular employees. This is where the human resources department comes into play. The human resource department of a business not only helps to maintain the most important asset of the company - the employees - but it also helps in protecting employees rights as well.

The purpose of having a human resources department is to establish, develop, maintain, and communicate office policies throughout the entire company and to represent, help, advise, and consult with the employees, while simultaneously keeping the overall best interests of the company in mind. A human resource department develops hiring plans and recruiting policies, as well as handles compensation and salary administration. It also works for affirmative action and handles employee relations, separations, contracts, performance reviews, benefits, 401k and pension plans. Most human resource departments also develop official documentation, workplace ethics/code of conduct, employee handbooks, employee training programs, award/reward programs and community connections as well.

While the above is a classic definition of what a human resource department does, nowadays the HR department in most companies is more involved and has a more hands on, active role in an organization. Current human resource departments now balance more responsibilities as they also discuss the strategic planning of a business with top executives. HR managers in today's day and age lead the way in not only making recommendations, but also initiate policy changes.

Today top executives now understand that that having a human resource department is key to ensuring economic success. This is because a good human resource department not only helps to boost the morale and efficiency of employees, but also restricts and limits job turnovers as well. The purpose of human resource departments is thus to basically utilize an employee's abilities effectively by coaching them to maximize those abilities, while simultaneously improving their working environment so that they are assured job satisfaction.

Handling people is always difficult and difficult people are always hard to handle, however with the help of a human resource department, employees can work together as a cohesive unit to not only solidify the company but to rake in the profits as well. Human resource personnel understand the psyche of a person so that they can motivate and stimulate employees to work not only more efficiently but more effectively as well.

Thus ultimately the purpose of having a human resource department comes down to wanting a cordial and friendly atmosphere where employees can work side by side with their peers to create an effective business mechanism.




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