Ten Key Functions of Human Resource Management

Rolling Plans Pvt. Ltd. Aug 13, 2021 9009 0

Human resources refer to the employees in an organization. Every organization and economy as a whole needs people who are skilled in the workforce to survive. 


People are one of the prime assets of a company. Many companies, after being aware of the importance of human resources, have a department of a team of skilled employees who manage the human resources within the organization.


This Human Resources Management team is commonly referred to as HR, HRM or the HR department.


What is HRM?


Human resource management (HRM) is the strategic management of the human resource within a company. The management is effectively and efficiently carried out which gives the company a competitive advantage.


An HRM team is crucial especially in a large company with multiple departments and a very long chain of command. 


Importance of HRM

  • The HRM ensures that the employees fit the skill requirements and are the right amount in a workplace.

  • The HRM established the ideal organizational culture within the company.

  • HRM provides employees with the ideal work environment for employees so that they can work their best.

  • HRM finds and hires talents that are best suited for the company and highly skilled. 

  • HRM fills the communication bridge between the senior management team and the working class. The HR team is connected to every employee in the workforce.

  • HRM supervises and establishes company policies which are important to maintain a disciplined and safe work environment.

  • HRM keeps records of employee performances and tries to constantly upgrade them.

  • HRM establishes the company culture, vision and mission in every employee. 

  • HRM helps employees by listening to their problems, finding solutions, helping them upskill, etc.


Ten Key Functions of HRM


Talent acquisition and hiring


Talent acquisition refers to the searching for a skilled and suitable workforce who will bring maximum benefit to an organization through their work. The HRM team finds talent and through several screening processes, the best suitable candidate is hired. This is one of the most important roles of HR. 


Identifying the need for an employee for specific tasks, setting a job description, reviewing the resumes, conducting interviews, trials etc are conducted by the HRM team in an organization. 


Establishing and Directing organizational culture


Having an organizational culture that is best suited for the employees and one that aligns with the company values is very important. The workplace culture reflects and represents the company as a whole.


Thus, establishing a perfect organizational culture is very important and this job is done by the Human Resource Management team of the company as well. 


The organizational culture refers to the values, practices and attitude which is found inside the organization and depending on the kind of culture that exists within the organization, the motivation and enthusiasm of any new or old employee can either increase or decrease. 


Employee training and Upskilling


Whenever there are new employees that are hired, HR conducts orientation and training programs to help them get a brief understanding of the company and gain perfect skills to work in the environment.


If the HRM team feels like the employees can enhance their work further or are underperforming, they also organize upskilling programs to boost their skills.


These training and upskilling programs are extremely necessary because they help the employees to give better performance and generate a greater output for the company. The organizational goals can also be met effectively and efficiently. 


Labor and Workforce Relations


The warm and friendly relationship between the laborers and working staff is essential to maintain harmony in a workplace. All the employees in a company work together to fulfil a common objective.


When the entire workforce is working together to achieve the goals of one organization, the position and title of a worker should never be the cause of conflict or misbehaving. 


The Human Resource Management team maintains a professional, respectful and harmonious relationship with all the laborers and working staff who serve the company. 


Compensation and Rewards


As per the effort and input shown by the employees, the HRM also provides them with rewards, benefits, incentives and compensation. 


The employees need to be paid well and highly skilled employees require a price that justifies their work. Also, incentives and rewards are very important to boost employee motivation and encouragement. Likewise, benefits associated with jobs at a company attract more skilled candidates. 


All these add on to the expenses of a company. The HRM has to be very careful regarding the compensation management and make sure that the company progresses in terms of profit and the expenses list doesn’t just keep adding up. 


Management of employee performances


The HRM also manages and keeps track of all employee performances within the organization. The HRM team designs a specific and proper job description that best suits the organizational needs before hiring.


All these criteria are highly considered during the whole recruitment process. Even after the person is hired, all the employee performances are assessed regularly. 


Checking on employees regularly, assessing their performances, reviewing them, providing them with on-time feedback, identifying the causes of poor performances, troubleshooting and forming plans and strategies is all a part of the roles and responsibilities of HR. 


Managerial relations


Employee relations are normally classified into two types; managerial and labor. The managers in an organization set up goals in the workplace.

Managerial relations design daily, yearly, monthly goals etc and manage the processes in an organization and the labor relations work as per the goals set by them. 


Human Resource Management works diligently to maintain a balance between the goals and expectations assigned by the managers and the practicality of deliverance by the working staff. The HR maintains a harmonious relationship with the managerial team as well and acts as the communication bridge between the two relations. 


Employee engagement 


An engaging workforce brings productivity and employee satisfaction. The HRM efficiently organizes employee engagement programs which also improves the interpersonal relationships within the organization. This also helps the employees to feel the spirit of teamwork and bond. 


When all the employees come together, engage in activities that are not strictly work-related and bond, a feeling of familiarity, comfort and togetherness is formed which will keep the workforce united.


Along with a boost in employee motivation and satisfaction, engagement activities also decrease the turnover rate in a company. 


Company policies and safety regulations 


Every company has its policies and safety regulations that all employees are required to follow. In case of breaking of these policies, the HRM takes strict measures as per the severity of the situation. 


These policies are very important to build a safe and secure work environment. The HRM monitors all the employee behaviors and ensures that the workplace is very safe and secure.

The HRM also develops and plans company policies and regulations to create an ideal workplace for all employees. 


Personal support and communication 


The Human Resource department of a company is a go-to place for all the employees when they are facing an issue in the workplace. The HR also establishes very harmonious and friendly managerial and labor relations. The HRM also communicates with every employee. 


Due to this availability and communication, the HRM provides all the employees with support in case of serious personal problems as well.


These may include incidents like serious medical illnesses, deaths and catastrophes etc. The HRM provides employees with as much support as possible. 


So to conclude, HRM is a department that acts as a support system for the whole organization. Humans make the economy and the organization and if they are not managed or are not taken proper care of, a business can never succeed.


The organization will lack proper teamwork, trust the employees will never work as effectively and efficiently as they should've; the company will never reach its organizational goals.

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