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5 Major Functions of Human Resource Management



A short time ago, there was a post trending on Linkedin which stated- HR is not all about making Rangoli and we couldn’t agree more.  HR is the most strategic function in any organization and perceiving the HR department as the incompetent and ineffective department is nothing less than a misconception. HR managers are responsible for various human resource management functions including talent management, engagement, recruitment, payroll, etc.


No matter if you are managing 8 people or 80, there’s a lot of work that needs to be done for effective human resource management. Let’s have a look at some of the major functions of human resource management:


1. Recruitment and Onboarding


Hiring the right people is crucial for any organization and this responsibility to hire the perfect fit for a job role is often assigned to HR professionals. From creating job descriptions to getting those jobs published on various platforms to scheduling interviews- HR has to make sure that each process is smooth and hassle-free. Because offering great candidate experience is one of the major factors for building brand image. According to a report by G2, 39% of hiring managers say employer brand will be a long-lasting trend to focus on in the future. Just like having the right recruitment strategy is key for attracting qualified talents, executing that strategy in a hassle-free and timely manner is important to make sure your efforts yield results.

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2. Training and Development


This is another major function of human resource management as offering proper training and development programs not only improves employee retention but also helps in building a positive work culture. Offering continuous training and development opportunities to employees can help organizations build a skilled workforce that can help them improve their business processes. HR leaders are also responsible for offering employee development programs across all departments. This is a long-term investment in a company’s future as skilled employees are more likely to perform well. According to Linkedin, 94 percent of employees would stay with a company for a longer time if there was an investment in learning.


3. Performance Management


Okay, so you have hired the right people but how do you ensure if those right people are performing the right way. Performance management is the answer to this question. 98% of businesses believe performance management is important, and this is one of the most crucial functions of human resource management.  It is important to identify the top performers and reward them accordingly. Also, insights into performance management can help you identify the strengths and weaknesses of your team. This information can help you improve your overall performance. The HR professionals act as a mediator between the managers and the employee to ensure a smooth implementation of the performance review and appraisal process.


4. Managing Employee Relations


Lack of cordial professional relationships can impact your company culture. It can lead to conflicts or negativity in the organization. This is the reason why HR professionals try to foster strong employee relations. Good employee relations increase positivity, improve communication and collaboration which ultimately improve productivity. Organizing team building activities, conducting town hall sessions, or virtual events in case of remote workers, all fall under the responsibilities of an HR professional. Good employee relations help in nurturing a work environment that allows employees to express themselves openly thus reducing the chances of conflicts.

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5. Benefits Administration


HR managers are the ones who go above and beyond to ensure an employee has the best time during their tenure in the organization. Besides managing all the basic activities, HR managers are also responsible for benefits administration. HR leaders can educate employees about their finances. They are also responsible for designing benefits that best suit their employee’s needs. During the covid-era, one thing that helped employees thrive in the trying times was the support from their employers. As soon as the pandemic hit the world, many organizations came forward to offer emotional as well as financial support to their employees. Today, organizations are investing heavily in employee benefits programs. Some of the best benefits that you can offer your employee include salary advances, insurance, personal loans, investment options, etc. Read more about employee benefits.


Final Words


From attracting, managing, and retaining the best employees – HR managers usually have a lot on their plates. This is why it is important to reduce their administrative burden. You can do so by opting for automation, i.e, HR technology or even outsourcing to an HR consultancy. There are numerous HR solutions that make your HR departments more effective, productive, and happy. You can use these systems to optimize your HR processes, reduce manual efforts and errors, and build a positive work environment.


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