Introduction

For small businesses and large conglomerates alike, the human resources or personnel function can be helpful for much more than simply processing payroll or handling the open enrollment season once a year. Human resources play an essential role in developing a company's strategy as well as handling the employee-centered activities of an organization. Organizational Psychology holds that successful organizations do not owe their success solely to market realities and sustainable competitive advantages. Actually, there is a lot more. Successful companies are those that consider their human capital as their most important asset. Facts and figures are the quantitative elements of successful management, yet the qualitative, i.e. the cognitive aspects, are those that actually make or break an organization. Human Resources Management (HRM) is the strategic management of the employees, who individually and collectively contribute to the achievement of the strategic objectives of the organization. Assuming that the employees of an organization are individuals with own mental maps and perceptions, own goals and own personalities and as such they cannot be perceived as a whole, HRM holds that the organization should be able to employ both individual and group psychology in order to commit employees to the achievement of organizational goals.1

Human Resources: Human Resource Management (HRM) is the function within an

organization that focuses on recruitment of, management of, and providing direction for the people who work in the organization. HRM can also be performed by line managers. HRM is the organizational function that deals with issues related to people such as compensation, hiring, performance management, organization development, safety, wellness, benefits, employee motivation, communication, administration, and training. HRM is also a strategic and comprehensive approach to managing people and the workplace culture and environment. Effective HRM enables employees to contribute effectively and productively to the overall company direction and the accomplishment of the organization's goals and objectives.2
1. 2. http://voices.yahoo.com/the-importance-human-resources-management-hrm-in-2687128.html?cat=3 http://humanresources.about.com/od/glossaryh/f/hr_management.htm

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1. Importance of Human Resource Management

An organisation cannot build a good team of working professionals without good Human Resources. The key functions of the Human Resources Management (HRM) team include recruiting people, training them, performance appraisals, motivating employees as well as workplace communication, workplace safety, and much more. The beneficial effects of these functions are discussed here:

1.1 Human Capital Value

Having an in-house human resources function is important. An in-house human resources staff or a human resources expert on staff can increase the understanding of how important human capital is to the company's bottom line. For small businesses, in particular, human capital is critical because so many smaller firms have employees who perform cross-functional duties. With a smaller workforce, if just one person leaves, it leaves the company with a huge gap to fill and a potential threat to the company's profitability.

1.2 Budget Control

Human resources curbs excessive spending through developing methods for trimming workforce management costs, which includes negotiating better rates for benefits such as health care coverage. In addition, human resources ensures competitive and realistic wage-setting based on studying the labor market, employment trends and salary analysis based on job functions. As some small businesses have budget constraints, this human resources function is especially helpful.

1.3 Conflict Resolution

Workplace conflict is inevitable, given the diversity of personalities, work styles, backgrounds and levels of experience among employees. A human resources manager or a staff person specially trained to handle employee relations matters can identify and resolve conflict between two employees or a manager and employee and restore positive working relationships.

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1.4 Training and Development

Human resources conducts needs assessments for the organization's current workforce to determine the type of skills training and employee development necessary for improving skills and qualifications. Companies in the beginning or growth phases can benefit from identifying training needs for existing staff. It's much less expensive than the cost to hire additional staff or more qualified candidates. In addition, it's a strategy that also can reduce turnover and improve employee retention.

1.5 Employee Satisfaction

Human resources specialists usually are charged with the responsibility of determining the level of employee satisfaction -- often an ambiguous measurement at best. With carefully designed employee surveys, focus groups and an exit interview strategy, human resources determines what underlies employee dissatisfaction and addresses those issues to motivate employees.

1.6 Cost Savings

The cost to hire new or replacement workers, including training and ramp-up time, can be exorbitant for employers, especially small businesses. With a well-constructed recruitment and selection process, the human resources function can minimize expenses regarding advertising job postings, training new employees and enrolling new employees in benefits plans.

1.7 Performance Improvement

Human resources develop performance management systems. Without a human resources staff person to construct a plan that measures performance, employees can wind in jobs that aren't suitable for their skills and expertise. Additionally, employees whose performance falls below the employer's expectations can continue on the payroll, thereby creating wasted money on lowperforming employees.

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1.8 Sustaining Business

Through succession planning that human resources develops, the company identifies employees with the promise and requisite capabilities to eventually transition into leadership roles with the company. This is an important function as it can guarantee the organization's stability and future success.

1.9 Corporate Image

Businesses want to be known as the "employer of choice." Employers of choice are the companies that receive recognition for the way they treat employees; they are the companies for whom people want to work. Becoming an employer of choice means human resources balances recruiting the most qualified applicants, selecting the most suitable candidates and retaining the most talented employees.

1.10 Steadfast Principles

Human resources ensure the workforce embraces the company's philosophy and business principles. From the perspective of a small business, creating a cohesive work environment is imperative. The first opportunity human resources has to accomplish this is through wise hiring decisions that identify desirable professional traits, as well as orientation and on-boarding programs.3
3. http://smallbusiness.chron.com/ten-reasons-human-resources-department-important-25554.html

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2.0 Recruitment & Selection Process

In order to increase efficiency in hiring and retention and to ensure consistency and compliance in the recruitment and selection process, it is recommended the following steps be followed (also refer to Staff Recruitment and Selection Checklist).

2.1 Need assessment

A organization first needs to have Need Assessment to identify in which sector, it is needed to recruit the employee for achieving its target and goals. In its assessment the organization have to realize the need human resource (HR) in the following situation- vacancy in existing post(s), market expansion, increase in production capacity, launching new product, introducing new system.

2.2 Checking the recruiting options:

Employees can be recruited from two sources. These are as follows: i. Internal

Current employees are a major source of recruits the employees but entry-level position. Internal source are included- promotion, transfer, job rotation, friends and relatives of existing employees. Promotion and transfer are typically directed by operating manager with little involvement by the Human Resource Department. ii. External

When job opening cannot be filled internally, the Human Resource Department must look outside organization for expert employees. External source included- advertisement, employment agencies, and campus recruiting. Usually they mainly provide the notice of available job in their websites, newspapers, university campus dailies and job sites.

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2.3 Screening and Short-listing Applications

The responses to the advertisements are sorted and screened. The CVs as well as the covering letters are judged. Experience, educational degree, computer literacy, etc are the basis of judging the candidates application.

2.4 Written test

It is the not important and effective tool for judging the candidates. The written test includes IQ test, behavioral competencies, and communication skills.

2.5 Interview
The selection interview is a formal, in-depth conversation conducted to evaluate an applicants acceptability. Through interviews the interviewers seek to answer three broad questions 1. Can the applicant do the job? 2. Will the applicant do the job? 3. How does the applicants compare with other who are being considered for the job? Selection interview are most widely used selection technique. They can be adapted to unskilled, skilled, and managerial and staff employees. They also allow two-way exchange information: interviewers learn about the applicant and the applicants learn about the employer

2.6 Reference Checking

Reference and background check are important, which refers the process to undertake of those application that appear to offer potential as employees. Reference check is indented to verify that was state on the application from correct and accurate information. Some question are arises through reference checking. Those are:

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1. Is the applicant a good, reliable worker? 2. Are the job accomplishments, titles, educational background, and other facts of the Resume or application true? 3. What type of person is the applicant? 4. What information id relevant to match the applicant and the job?

2.7 Medical check-up

Normally, the evaluation consists of a health checklist and asked the applicant to indicate the health and accident information. The medical evaluation may: 1. Entitle the employer to lower health or life insurance rates for company pain insurance. 2. Be required by state or local health officials, particularly in food handling operations where communicable diseases are a danger. 3. Be useful to evaluate where the applicant can handle the physical or mental stress of a job.

2.8 Offer letter

When the candidates satisfy the Human Resource Recruiting Broad, then the broad provide to the candidate offer letter.

2.9 Orientation /induction

Through orientation the recruiting organization try to introducing the new comers or new employees with its work unit, rules and regulation, culture, norms, value, believe and exposure to all important functions and locations of the company and so forth.

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2.10 Follow up
For make the employee more effective and efficient Human Resource Department continuously interacts with the new entrants assisting to cope up with the work environment, work culture, peer groups etc. In this stage the management tries to help the employee to get settled her/his problems in the job, work environment and workplace-culture Hence, this is how human resources are recruited and selected. Every countrys government has some unique rules, acts or regulation to protect the interest of the employees to ensure the basic rights of the employees. These acts or regulations say, how much salary will be paid to each employee, what should be the minimum criteria to be appointed, what health and hygiene factor an employer must comply to recruit and select human resources, Different provisions and regulation of leaves, work hours etc. These all issues are covered by the act of every country. Each and every organization must follow the government regulation such case but they can frame their own regulation within the boundary of government rules and regulation.

3.0 Recruitment and Selection of Human Resource and its Importance

Recruitment is a procedure that is undertaken in order to fill in a gap in the management and selection can be described as an assessed procedure in order to select a candidate that is most suitable for the position in hand.

The main aim of recruitment and selection is to aid the decision making of the upper management to fill a gap; it helps them find the right candidate with the right qualifications and skills to be able to do the job not taking in to consideration their race, age, gender, colour or nationality. This is important as it is a fair, effective and in good practice.4 Recruiting staff is a very costly exercise. It is also an essential part of any business and it pays to do it properly. When organisations choose the right people for the job, train them well and treat them appropriately, these people not only produce good results but also tend to stay with the

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organisation longer. In such circumstances, the organisation's initial and ongoing investment in them is well rewarded. An organisation may have all of the latest technology and the best physical resources, but if it does not have the right people it will struggle to achieve the results it requires. Poor choices at the recruitment stage can prove expensive. The company needs to be sure of a candidate's technical competence. Time and money spent in recruiting that particular employee will have proved expensive and wasteful whilst a better candidate may not only have 'got away' but also gone to a competitor. In a highly technological competitive market, organization requires people who are not only technically competent, well informed, loyal and committed but also capable of showing good judgments, often under pressure. Hence it is very important to appoint appropriate human resources for the organization. For this purpose each and every elements are very vital and must be considered with utmost care.
4. http://www.markedbyteachers.com/university-degree/business-and-administrative-studies/why-is-effective-recruitment-and-selectionimportant-to-organisations-which-selection-techniques-are-the-most-useful-and-why.html

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4. Importance of Training and Developments in Organizational success:

Despite the potential drawbacks, training and development provides both the company as a whole and the individual employees with benefits that make the cost and time a worthwhile investment. So the importance of training and developing are given below: I.Help

in

addressing

employee

weaknesses:

Most workers have certain weaknesses in their workplace, which hinder them from giving the best services. Training assists in eliminating these weaknesses, by strengthening workers skills. A well-organized development program helps employees gain similar skills and knowledge, thus bringing them all to a higher uniform level. This simply means that the whole workforce is reliable, so the company or organization doesnt have to rely only on specific employees.

II.

Improvement

in

workers

performance

A properly trained employee becomes more informed about procedures for various tasks. The worker confidence is also boosted by training and development. This confidence comes from the fact that the employee is fully aware of his/her roles and responsibilities. It helps the worker carry out the duties in better way and even find new ideas to incorporate in the daily execution of duty.

III.

Consistency

in

duty

performance

A well-organized training and development program gives the workers constant knowledge and experience. Consistency is very vital when it comes to an organizations or companys procedures and policies. This mostly includes administrative procedures and ethics during execution of duty.

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IV.

Ensuring

worker

satisfaction

Training and development makes the employee also feel satisfied with the role they play in the company or organization. This is driven by the great ability they gain to execute their duties. They feel they belong to the company or the organization that they work for and the only way to reward it is giving the best services they can.

V.

Increased

productivity

Through training and development the employee acquires all the knowledge and skills needed in their day to day tasks. Workers can perform at a faster rate and with efficiency thus increasing overall productivity of the company. They also gain new tactics of overcoming challenges when they face them.

VI.

Improved

quality

of

services

and

products

Employees gain standard methods to use in their tasks. They are also able to maintain uniformity in the output they give. This results with a company that gives satisfying services or goods.

VII.

Reduced

cost

Training and development results with optimal utilization of resources in a company or organization. There is no wastage of resources, which may cause extra expenses. Accidents are also reduced during working. All the machines and resources are used economically, reducing expenditure.

VIII.

Reduction

in

supervision

The moment they gain the necessary skills and knowledge, employees will become more confident. They will become self-reliant and require only little guidance as they perform their tasks. The supervisor can depend on the employees decision to give quality output. This relieves supervisors the burden of constantly having to give directives on what should be done.

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5.0 Importance of Motivational Tools in Job Satisfaction and Job Performance:

Employers are not only responsible for hiring, training and paying their employees, but also motivating them to perform effectively. Managers take different approaches to motivating workers, but those who are successful can organize workforces to give an organization the best chance to succeed against its competitors. Employee satisfaction plays a role in motivation and, ultimately, overall productivity and bottom-line results. It is important to an employee's mental outlook to believe he is valuable to the company. Encourage feelings of worth in workers as a means of increasing motivation and job satisfaction. Employees should be praised for exceptional performance; manger should thank them for extra efforts, congratulate them on their talents and reward them with gift cards and other expressions of gratitude. Also, manager should give them challenges such as leading a work team, designing a project or mastering the new office equipment and software, which can help increase feelings of worth when the challenges are successfully met.5 Managing human beings is pivotal part of overall management. This is one of the integral parts that a manager cant ignore. The whole human resources work as a whole unit to achieve a common goal within the organization. A well-defined management process never compromises with its human resources. Because it is the human resources that can lead the organization to the zenith of success on the other hand it can lead the organization to the edge to destruction. So the fact is motivation is needed to make the human forces work in accordingly. Managers use a variety of tools and techniques to encourage employee satisfaction, promote motivation and improve productivity. Some of these tools involve finding ways to make employees more comfortable in their jobs. Employee benefits, flexible work hours and recognition for achievement all help improve job satisfaction. Other motivation techniques include competition within a business as workers or work teams compete with one another to achieve mutual goals more quickly and effectively. Individual workers are also responsible for carrying out assigned tasks and seeking ways to keep personally motivated even during times of high stress or poor performance. 6
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5. 6.

http://smallbusiness.chron.com/links-between-motivation-job-satisfaction-13267.html Satisfaction, Motivation & Productivity _ Chron.com.htm

Conclusion:
The purpose of Human Resource Management (HRM) is to hire, train and develop staff and where necessary to discipline or dismiss them. Through effective training and development, employees at Enterprise achieve promotion within the company and reach their full potential. In the 21st century the business world become complicated and hard to compete with on the other hand peoples behavior is the most complex stuff the god has ever created so in order to deal with all these a sound knowledge in human resources is required. Hence, the ultimate focus of HRM is the people within an organization. Regular planning, monitoring and evaluation are important for the success of HRM. Successful implementation ensures that all employees know their role, career path and also feel part of an organization which is able to manage and reconcile their expectations as well as those of the organization and its objectives. To sum up we can say that any organisation, without a proper setup for HRM is bound to suffer from serious problems while managing its regular activities. For this reason, today, companies must put a lot of effort and energy into setting up a strong and effective HRM.

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References

1. 2. 3. 4.

http://voices.yahoo.com/the-importance-human-resources-management-hrm-in-2687128.html?cat=3 http://humanresources.about.com/od/glossaryh/f/hr_management.htm http://smallbusiness.chron.com/ten-reasons-human-resources-department-important-25554.html http://www.markedbyteachers.com/university-degree/business-and-administrative-studies/why-is-effective-recruitment-and-selectionimportant-to-organisations-which-selection-techniques-are-the-most-useful-and-why.html

5. 6.

http://smallbusiness.chron.com/links-between-motivation-job-satisfaction-13267.html Satisfaction, Motivation & Productivity _ Chron.com.htm

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