Human resource management

Scope

Human resource management plays an integral role that impacts a company's workforce.

Regulatory citations

• None

Key definitions

• None

Summary of requirements

Human resource management function encompasses a number of areas:

• Recruitment and staffing. This may involve workforce planning, determining recruiting and hiring techniques, considering which jobs to outsource (if any), determining whether to use a contingent workforce, performing background checks, and onboarding.
• Benefits and compensation. The HR Manager may look at internal and external equity to determine appropriate pay levels for employees, and also compare the benefits currently being offered to the benefits that competitors offer. The HR Manager may make changes to benefits based on usage or need, and make the effort to hold costs down, especially when it comes to high cost benefits like health insurance.
• Training and development. The HR Manager, sometimes in conjunction with an organization development specialist or corporate trainer, may be in charge of the ongoing training and development of the organization’s employees. This may also include setting up career pathing and succession planning programs, and overseeing performance management by supervisors.
• Compliance. Part of HR Management is making sure the organization is in compliance with all local, state, and federal employment laws.
• Administrative. HR also is about employee records management. This involves keeping accurate records on employees, knowing which records to keep, how long they must be kept, and knowing which records must be kept confidential and separate from personnel files.
• Business strategy. Human Resource Management does have a strategic component. HR Managers should strive to align their processes with the corporate strategy in such a way as to impact the bottom line. HR Managers should also strive to become true business partners so they can incorporate the human component into the organization’s corporate strategy.