What Are the 5 Most Important Human Resources
Human resources is a field that encompasses everything from recruiting to retirement. It can be affected by changes in technology, media and laws.
While it may not be the most popular or glamorous, HR is crucial to a successful business. Here are the five most important human resources to keep a close eye on:
Recruitment
Recruiting the right people is essential for any business. Getting the process wrong is expensive and can lead to a bad employee culture or losing key staff.
There are several ways to find the best candidates for your roles, including internal recruitment, external advertising and online recruitment. Each method is different and has its advantages.
Internal recruitment drives are a great way to keep your company growing and ensure that there is a career path for staff. They also improve morale and staff motivation and can help with succession planning.
Another effective method is to attract candidates by word of mouth, especially for big brands and multinationals that already have an established employer brand. This can be done by hosting open days and other recruitment events or using the local grapevine to spread the word about your company.
Payroll
Payroll is one of the most important human resources a company can have. It has to be managed to ensure it is timely, accurate and legally compliant.
Having a team that can handle employee questions regarding salary and payment is also important. This will help to improve morale in the workplace and boost company growth.
The question of who should be responsible for payroll should always depend on the organization’s structure and processes. However, a popular approach to this is that it should sit between the HR and finance departments.
Employee Benefits
Employee benefits are the non-cash compensation that an employer offers to employees in addition to salaries. Some are mandated by law, while others are discretionary.
A well-designed and comprehensive employee benefits program can help attract and retain top talent. It can also increase employee productivity and engagement.
Managing and administering employee benefits requires understanding federal laws that govern health, retirement, and other benefits. It also includes assisting workers in understanding their rights, protecting their benefits, and facilitating compliance by plan sponsors, fiduciaries, and service providers.
Implementing employee benefits is a complex and time-consuming process that requires expert planning, dogged pursuit of savings opportunities, and the assistance of an experienced tax advisor. It also requires creating a detailed implementation timeline, onboarding process, and employee benefits training.
Training
Training is an important part of human resources, as it is vital to keeping employees engaged and productive. Employees can learn new skills through classroom and online training or attend seminars or industry conferences to update their current skills.
A well-designed and implemented training program can help increase productivity and streamline processes. For example, learning to use new tools and technology can significantly reduce the time required to complete tasks.
Human resources professionals who are well-trained in their areas of expertise can play a key role in developing and implementing employee training programs. For instance, OU’s online Master of Arts in Human Resources (MAHR) degree prepares graduates to lead HR teams and develop effective strategies for engaging employees through consistent training and development.
Administration
The human resources department is responsible for various administrative tasks, such as hiring and onboarding new employees and handling payroll, benefits and policies. They also manage training programs and professional development opportunities for the staff.
HR departments often negotiate group health insurance rates with health insurers and coordinate with the company’s 401(k) administrator. They also help set salary ranges, benchmark compensation structures and create competitive employee benefits packages.
Another key role of the HR department is to identify, assess and resolve short- and long-term risks before they become a real threat. This helps to protect both the employees and the company.