What is the Role of the HR Department in an Organisation? 

While some still believe that human resources managers are only responsible for hiring people, the truth is that they contribute to the company’s overall wellness and support key management processes that lead the brand to success. HR is a short name for human resources, and this department is one of the key ones in any organisation. 

These employees oversee the primary component of a successful business – a productive, thriving workforce, which is why they view people as human assets and resources rather than just extra costs for a company. Therefore, as with any other asset company uses, talented and driven minds can be used strategically to bring more value to an organisation.

The main factors of a successful production are – land, labour, capital and enterprise. Among all of them, effective labour or human resources is now one of the critical ones since the lack of this factor will affect the whole production. To put it simply, Human Resource Management in every organisation (HR department) refers to a department responsible for finding, screening, recruiting and training job applicants while also being charged with administering employee-benefit programmes.

Let’s explore why the HR department is much more than hiring people and what functionalities usually lie under this position:

Recruitment and Training

When it comes to people management, the most obvious and well-known responsibility is hiring the right people for an organisation. During the recruitment process, they create obligations and the scope of tasks for all employees. HRs also develop and assign legal contracts between the company and employees, following the core code of conduct in the organisation. When required, they can also provide training for an employee to assist and improve the skills needed for the company’s goals.

Performance Appraisal

The HR department not only hires the right people for the right seats but also encourages and motivates employees so they will be able to bring their maximum potential and contribute to the overall company’s success. This also involves providing suggestions on work improvement to help employees get a clear picture of their results and move in the right direction in case of any poor performance. Performance appraisals often consider various metrics such as job performance, employee engagement, customer satisfaction, and project completion rates. Among these, understanding and managing your absenteeism rate can provide valuable insights into employee well-being, engagement, and overall productivity.

Onboarding Process

Since hiring a person is not the end of the process, HRs have to support new employees during their first months in the organisation. This process is known as onboarding and includes sharing the company’s policy, support in any questions that arise, resolving financial questions, offering working equipment and more. Studies show that the onboarding process plays a key role in how the new employee will work in the future and whether he will stay at the company or not.

Maintaining Work Atmosphere

While some companies have “happiness managers” responsible for establishing and maintaining a delightful atmosphere in the organisation, HRs also take part in this process. They work as a bridge between founders and employees to resolve questions, provide feedback, maintain healthy relationships between people and inform others about the latest news.

Developing Public Relations

The HR department should also establish healthy relationships with other organisations. Therefore, they are responsible for organising events, meetings, seminars and webinars with other companies. This is why companies should create a well-known HR brand which will allow them to better present services and develop relationships. 

Developing Skills for the Future 

Regardless of the sphere, HRs should also be responsible for keeping the competitive level of the company in the market. Therefore, one of the critical tasks of this department is to develop new skills in their employees by offering courses, hiring experts in the domain niche and advising managers and supervisors on how to assign different people to different roles in the company; in times of changes, HRs are the first people who start the action and can help the organisation to adapt to a challenging environment. 

Building Loyalty and Commitment

Since there are so many companies that have the same services and products you offer, it is essential to keep your employees loyal and in your brand. However, modern people do not like only to follow the rules if they are not satisfied. Therefore, the HR department plays a key role in building the loyalty and commitment of every employee while making sure the person is satisfied with the work environment. 

Staying Current and Competitive

Effective human resource management always requires strategic planning that addresses not only the changing needs of employees but also covers the shifting competitive job market. Modern companies know the importance of offering various benefits to their gen Z employees (who have been shown to be most effective in times of market shifts). Therefore, if the company wants to hire those people and ensure they will stay in the company for an extended period, they have to consider many things.

This task is mainly done by HRs, who create benefit packages, create a flexible atmosphere in the organisation and take care of compensation that satisfies the employee and the company’s rocks. Benefits packages and competitive salaries are two key factors modern employees are looking for when choosing a company. HRs also need to explain any changes team members see on their payslips to improve the employee experience and provide full transparency when calculating employers NI (National Insurance). 

Final Thoughts

HRs are the base of any organisation. While in small companies, founders and CEOs can take their responsibilities, any business that wants to achieve success should have a well-thought-out HR department. Being responsible for hiring people, supporting the atmosphere in the company, organising healthy relationships with other brands, managing the effectiveness of employees and more, this team is a must-have. This guide shows you what the role of HRs in any organisation is and how they can contribute to the company’s success in the long term.

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