10 Major Functions of Human Resource Management in 2022

| December 27, 2021
functions of hrm

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Behind every successful organisation is an ever-hustling HR team. It is an integral part of any organisation and acts as a bridge between employees and the organisation.

Human resource professionals bring in the best talent onboard and nourish them towards achieving organizational objectives. Workforce management is an ongoing process that involves formulating policies and conducting training & development programs to uplift the morale of employees and achieve the set target.

functions of human resource management

What Is Human Resource Management?

Human resource management is a strategic and comprehensive approach to managing the people and culture of a workplace. It is a continuously evolving process that enables employees to contribute enthusiastically towards the achievement of organizational objectives.

The Role of HRM in Organizations

Human resource management processes help in defining and maintaining the vision, mission and values of a company.

Some of the primary functions of HRM are job analysis and job design, hiring/ recruitment, training and development, reward and recognition, compensation and benefits, performance control, administrative relations and managing work relations.

HRM is an interdisciplinary activity that comes with unlimited scope. The scope of HRM basically refers to all the activities that fall under the flag of workforce management. Understanding the monetary and non-monetary needs of employees to enhance productivity is an important scope of human resource management.

Scope of HRM further includes performance review, assessment, recruitment, employee engagement process, growth, resource planning and grievance redressal.

Benefits of Human Resource Management

Benefits of Human Resource Management

Human Resource Management is a process that simplifies workforce management functions and offers several benefits.

  • Better Human Capital Management

    One of the biggest advantages of HRM is that it defines a process for managing an organisation’s capital management. It builds an entire system that the human resource department can utilize to pick and deliver the best talent pool and give them personalized training to achieve organisational goals.

  • Streamlined Recruitment Process

    Effective human resource management makes it easier to attract the best talents and retain them for a long time. The hiring managers get a database where candidates information with their job skills, experience and tentative joining date are mentioned.

    Human resource management process also involves running social media campaigns to create a positive image of the company, backed by achievements, recognitions and the work culture.

  • Identify and Bridge the Capability Gap

    Many times, companies face the challenge of capability gap and skill shortage because of the ever-changing expectation from a job profile. In this case, the human resource management team can identify the capability gap in the workforce and create strategies to attract and retain fresh talents and veterans.

  • Suitable Career Planning

    Human Resource Management teams come up with new training and development programs to help employees acquire new skills and grow in their career. The HR team identifies capability gaps via training, surveys, feedback and performance review. This provides employees with a clear picture of areas where they need to improve.

Suggested Read: Functions of Human Capital Management (HCM) Software

Basic Functions of Human Resource Management

The primary function of human resource management is to encourage employees towards achieving the organisational objectives. Human resource management functions are broadly divided into two categories: Operative Functions and Managerial Functions.

Operative Functions of HRMManagerial Functions of HRM
– Hiring & Onboarding
– Training & Development
– Employee Retention
– Feedback
– Performance Appraisal
– Actionable HR Insights 
– Planning
– Organizing
– Directing
– Controlling

Operative Functions of Human Resource Management

operative functions of hrm includes

The functions that are performed at a departmental or mid-level are known as operative functions of Human Resource Management. Operative functions of HRM are directed towards the execution of plans and strategies designed by the senior managers of a company. Operative Functions of HRM includes the following:

  • Hiring Talent: One of the primary human resources functions is to hire people who are a perfect fit for the organisation. Along with quick and effective hiring, the HR team also ensures smooth onboarding.

  • Orientation: Human resources managers ensure that legal formalities are effectively completed from every employee’s side. After that, they introduce them to the company policies, principles and working culture.

  • Training and Development: The working need of every company differs from one another. Employees are provided with adequate training so that they are on track with the team’s requirements.

  • Employee Retention: The HR team ensures that employees stay productive at work and deliver their best performance. They try to develop a culture of work and fun.

  • Feedback and Performance Appraisal: Human resource management team creates a systematic process to improve productivity and work efficiency. They create a flow where employees receive feedback from senior managers at regular intervals.

  • Provide Actionable Insights: HR insights help the management drive important metrics for employee engagement. Performance data, employee benefits, their skills, claims, company turnover and other vital statistics can help an organisation improve work culture and stay closer to achieving goals & objectives.

Managerial Functions of Human Resource Management

managerial functions of hrm

These processes provide important insights to help the top management in strategizing and successfully implementing the designed schemes. Basic managerial functions of HRM are the following:

  • Organising

    After establishing the objective and setting the plan, managers now jump to the second stage of managerial functions. The secondary function of HRM is to make available all possible resources to carry out multiple operations.

    The functions of HR managers include setting a framework of operative tasks by dividing the activities into functions and positions. They also assign activities as per the groups, delegate authority and responsibility as per the task.

  • Directing

    Implementation of a strategy depends on how convinced or motivated the employees are. Therefore, the third managerial function involved encouraging and directing people at work so that they are aligned with the organizational goal.

    Human resource management functions help in keeping mo employees motivated by taking care of their career planning and monetary needs.

  • Controlling

    The last function of HRM is all about regulating the activities according to the plan. The managers now can observe and chalk out the progress as per the set standards.

    Further, they can also figure out deviations, evaluate and control the department wise progress with respect to operative functions and take necessary actions.

Suggested Read: List of Best HR Software in India – HRMS Software Companies

Conclusion

Human Resource Management (HRM) is an intangible asset that binds together all the factors that are required to meet the organisational objective. The contribution of HR managers towards the success of any organisation is unimaginable.

FAQs

  1. What is HRM definition?

    Human Resource Management is a strategic and comprehensive approach to managing the people and culture of a workplace. It is a continuously evolving process that enables employees to contribute well towards the achievement of organisational objectives.

  2. What are the major functions of HRM?

    Some of the primary functions of HRM are job analysis and job design, hiring/ recruitment, training and development, reward and recognition, benefits administration, performance management, and more.

  3. What is the importance of HRM?

    The importance of human resources is indispensable for an organisation. It bridges the gap between employees’ aspirations and the organisation's strategic goals. An efficient HR management strategy keeps the organisation one step ahead of the competition.

  4. What is the difference between personnel management and HRM?

    Personnel management is based on the theory that employee behaviour can be manipulated as per the core competencies of the organization.

    On the other hand, human resource management has a wider scope and focuses on aligning employee goals with organizational objectives, accountability, compensation etc.

Related Categories: HR Software | Payroll Management Software | Attendance Management Software | Leave Management Software | Recruitment Management Software

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