So first let us know what is human resources? basically it can be defined as the effective management of people in an organisation. HR management helps to bridge the gap between employee’s performance and the organisation’s strategic objectives. moreover, an efficient HR management team can give firm’s an edge over their competition. HR plays a significant role in developing positive business culture and improving employee engagement and productivity. the HR function also takes the lead on the employee wellness and personal development. it can be easy to overlook HR in an SME. many entreprenuers get their businesses off to a flying start. but grapple with people management as the business starts to flourish. managing staff takes time and it requires specific skills. HR in an area of expertise many business owners lack. regardless of skills the valu of HR in business isn’t always immediately apparent. with just a few employees, business leaders feel like they have their finger on the pulse when it comes to the people they hire and manage. but a business grows, leaders often find their just isn’t time to deal with day to day people management and recruitment and the focus on people can easily get lost. this is costly mistake and can affect employee satisfaction, culture, and long term success. underdeliver on effective HR and you’ll see a knock on effect on your bottom line. people culture and business sucess go hand in hand. reputation as an employer is influential in attracting talent. it also impacts on customers. take uber as an example; plagued by a string of HR catastrophes from sexual harassment cases to ignoring employees complaints; the resulting bad publicity has undoubtedly deterned many from working there or from using their ride sharing services. bad HR has destroyed uber’s employer brand.

The corona virus pandemic has forced us to re evaluate the way we do business. as part of this, the HR function is taking center stage. companies are being increasingly measured by the decisions they’ve taken and the way they treated their staff. what’s more the impact of ongoing economic uncertainity, remote working and all too real impact on employees mental health are forcing business across the UK to place human resources at the heart of their operation. from supporting managers with remote management skills through to sensitively communicating the consequences of a downturn in business. HR is crucial to the effective management of a business during the pandemic or other significant event.

Illustration of human resources functions explained in four steps.

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