Why is HR important?

Key functions of an HR professional

02 February 2018 | Events

The HR department in any company can be its ace in the hole, if used strategically. HR is a company’s human resource multiplier. The functions of an HR professional should focus on the company’s greatest resource of all - its employees. Without good employees, the best business plan and ideas will fail.

In your business there are experts to oversee and advise you on various areas and departments. For example, your CFO’s sole purpose is to keep their eye on the financial functions and decision for the company. Without good accounting and insight on your cash flow, investments, and balance sheet you risk making poor business decisions and potentially going out of business.

Likewise, there are many reasons why the role of HR in a company is important to its survival and success. The reasons why HR is important can vary depending on if you look at the issue from a manager or employee perspective. Below is a list of typical functions of a human resources department that will help you better understand the essential role of HR in a company.

1. Management development and training

One way to be a company resource multiplier is to help managers be better managers, which in turn will help prevent or eliminate distractions for your employees. Employees don’t leave bad companies, they leave bad bosses, according to Beverly Kaye, co-author of Love ‘Em or Lose ‘Em: Getting Good People to Stay. Good managers are crucial to an effective organisation but most have to learn how to be effective. The role of HR in a company is to help develop and coach managers to do the best job possible. HR professionals have a lot of experience working with employees in all sorts of situations. HR’s role is to advise and assist management on how to manage employees and deal with difficult situations. The reason why HR is important in helping managers is if they are able to manage effectively, problems that arise won’t escalate to the point of distraction for employees.

2. Keeping management focused on their job

HR is important for managers so that they can stay focused on their job. There is a lot of new regulation that came out this year that affects businesses. One role of HR in a company is to unravel the byzantine employment regulations using their expertise and to advise management about how they affect the business. They then updates business practices so the company is compliant. This is no easy feat.

3. Hire strategically, hire right

Another way HR is important for managers is that it can assist with strategic hires; by this I mean hiring right. I believe recruiting is the number one way for HR to make an impact on the organisation.

Hiring right means reduced turnover and increased retention. It means finding the high potential candidate who can do ten times as much as the average employee and then being able to convince them to work for you. It also means not hiring problem employees to start with. Most of us have heard of the Pareto Principle (The 80/20 Rule), which suggests that 20% of the employees take 80% of your time. Again, going back to the notion that HR is a human resource multiplier, by hiring right you can focus on growing the business not dealing with problem employees. To do this there should be a systematic interview process that probes for work ethic, attitude, aptitude and motivation, in addition to determining if they have the right skills for the job. HR can be an instrumental in the process.

Why is HR important for employees?

HR is an advocate for employees. The functions of an HR professional are to make sure that all employees are treated fairly and equitably and that the needs of the business are balanced against the needs of the employees.

For the same reasons listed above, employees also make gains. Employees benefit when managers are trained well and know how to be good managers. Employees need their managers focused on getting work done instead of trying to figure out what new laws just came out this year. Employees also benefit when the company hires right because that means they have less co-worker issues to deal with themselves. They don’t have to take on extra work when poor performers are let go. They don’t have to train the new person. They can stay focused on their job.

We have presented only the most essential reasons why HR is important. There are many more when you look at the day-to-day operations of a smooth-running, successful company. HR is more than someone who takes your new hire paperwork or files the benefit forms. The role of HR in a company affects all aspects of the organisation. Why? Because HR supports employees and employees are your most important resource.

www.payscale.com

Similar News

 

Omuhoko Trust invests in youth

1 week ago - 17 May 2019 | Events

Evany van WykThe Omuhoko Trust to which all PricewaterhouseCoopers employees contribute to on a monthly basis, and whose contributions the firm matches, wanted to contribute...

Nearly N$900k raised for totem expo

3 weeks ago - 30 April 2019 | Events

A gala dinner held to raise funds for this year's Oshakati Totem Expo on Saturday raised over N$870 000.The event will take place from 24...

SMEs drive economic growth

1 month - 26 April 2019 | Events

Small and medium-sized enterprises (SMEs) are important drivers of growth, employment and innovation in and around the northern town of Ondangwa. It is against this...

Unwavering passion at Ondangwa Private Hospital

1 month - 26 April 2019 | Events

In 2014, Dr Happy Musweu and his wife, Dr Helena Shuuvuni, both general practitioners, established the Ondangwa Private Hospital after identifying the need for a...

OTIE brings hope to Ondangwa

1 month - 26 April 2019 | Events

The Ondangwa Trade and Industrial Exhibition (OTIE) is designed to promote business and industrial development at the northern town, with small-and-medium enterprises (SMEs) and the...

Fashion designer talks innovation

1 month - 26 April 2019 | Events

Having been conducting business in Ondangwa for the past 30 years, fashion designer Annelly Luaanda has seen it all. The 50-year-old is on a mission...

Indongo Ford sets up shop in north

1 month - 26 April 2019 | Events

Business tycoon Frans Aupa Indongo has done it again. This time around the businessman, who chairs the Frans Indongo Group, has opened a new vehicle...

GIPF ready to serve

1 month - 25 April 2019 | Events

STAFF REPORTERThe Government Institutions Pension Fund (GIPF) will once again take part at this year’s Ondangwa Trade and Industrial Exhibition (OTIE) as part of its...

Towns challenged to work towards a cleaner Namibia

4 months ago - 21 January 2019 | Events

Tourism remains one of the strongest pillars of the Namibian economy and has the potential to address unemployment and poverty.Namibia Media Holdings (NMH) is committed...

2019 Namibia Tourism Expo is launched

6 months ago - 15 November 2018 | Events

The 2019 Namibia Tourism Expo will take place from 5 to 8 June 2019 in Windhoek at the Windhoek showgrounds. The dates were announced at...

Latest News

10% water hike coming

2 days ago - 24 May 2019 | Disasters

The City of Windhoek has proposed a 10% water and 5% sewer tariff hike to come into effect in July. The City's recently announced...

Low earners excluded from drought...

2 days ago - 24 May 2019 | Disasters

Households with a combined income of more than N$2 600 will not qualify for state drought assistance, which has effectively excluded even low-level civil servants...

How did we get here?

2 days ago - 24 May 2019 | Opinion

How did we get to a situation, as a country, where our government is asking already struggling workers to donate 2% of the salaries as...

AMTA ends Fysal agreement

2 days ago - 24 May 2019 | Agriculture

Fysal Fresh Produce is to retrench 60 employees at the end of this month after its contract with the Agro-Marketing Trading Agency (AMTA) was terminated....

Geingob grills Nanso

2 days ago - 24 May 2019 | Education

The Namibia National Students Organisation (Nanso) leadership received a grilling from President Hage Geingob on Wednesday during a meeting to discuss a number of issues,...

Fallout over 2% tax

2 days ago - 24 May 2019 | Economics

Political parties and analysts have called on the government to abandon a plan to introduce a “voluntary” 2% tax to fund drought relief.Prime Minister Saara...

Bild challenges Guibeb

2 days ago - 24 May 2019 | International

The German newspaper Bild has rubbished a claim by the Namibian ambassador to Germany, Andreas Guibeb, that no arrest warrant had been issued against him.The...

Namibia ranks poorly for diversity

2 days ago - 24 May 2019 | Cultural

For a country that is described by many as one of the most diverse in the world, Namibia has ranked fairly poorly in a new...

Business ponders mass exodus

2 days ago - 24 May 2019 | Business

A recent survey by the Economic Policy Research Association (EPRA) of close to 600 businesses concerned about the government's policy direction shows that a staggering...

Load More