Functions of Human Resource Management – HRM

HRM is an activity in the organization which is vital for the optimal performance of the organization. HRM manages and directs the output of employees towards organizational goals. The primary Functions of human resource management are to deal with issues related to staff like hiring, compensation, performance, safety, wellness, benefits, motivation, and training.

Humans in the organization is a resource of that organization which work as essential fuel for any organization, employees are managed like any other resource. The main objectives of human resource management are to perform various Important functions of Human Resource Management in an organization and drives an organization to its goals, efficiently and effectively.

Top 3 Functions of HRM
• Operative
• Operative
• Managerial
• Managerial
• Advisory
• Advisory
Functions Classifications
• Recruiting, Training, Development
• Performance, Legals
• Planning, Controlling
• Organizing, Instructing
• Management Advisory
• Departmental Advisory

In any organization, There are Three Main Functions of Human Resource Management.

  • Operative
  • Managerial
  • Advisory

Operative Functions of HRM

Operative Functions of Human Resource Management in an organization are the most practical and critical tasks assigned to the staff. One wrong or right decision can make difference. Personnel Management is the toughest task as every human is different in personality. Each applicant itself is a different subject. Businesses by understanding the importance of psychology in human resource management started to hire Psychologist to get rid of this problem.

Design a Recruitment Process

You can consider the importance of selection in HRM as the Importance of water in Life. This is the most difficult task performed by HR managers. The first HRM objective involves many things like job posting, description writing, interviewing shortlisted candidates, negotiating salary and making a job offer. Evaluating applicants with characteristics of good employees is never been an easy task for any recruiter. HR managers need to develop new models for new jobs, which is also a very challenging and time-consuming task to design, test and evaluate different types of recruitment.

Training and Development

HRM department manages and trains newly recruited people and take them through various types of training and development process. Meanwhile, the organization also monitors the performance of the fresh candidates which helps the HR department to evaluate the potential of the candidates and where to appoint them. In this way, they find short-comings which fresh candidates have.

Professional Development of Employees

HR managers also perform a vital role in the development of newly recruited employees. HR department analyzes the performance of their current employees. If the performance of workers is enough making organization to achieve its goals otherwise they are provided professional training. In this way, employees receive support from fellow seniors and also communication between them becomes better.

Compensation and Benefits Policy

HR management also deals with any official paperwork regarding employees of the organization. The employee chooses to work in an organization where there are benefits for them. Different duties of employees are evaluated under predefined processes to award them with compensation. most common benefits include

  • Work hours flexibility
  • Extended vacation
  • Dental/Medical Insurance
  • Maternal/Paternal Leave
  • Education Reimbursement for children

Performance Evaluation

Human resource management keeps check and balance on the performance of employees. If employees are not working according to organizations goal then it is the duty of Human resource manager to identify them and then provide professional training to turn them into good employees.

Legal Activity in an Organization

HRM department also processes all the legal activity required for the survival of the organization, they should be aware of all the laws regarding employment, working conditions, working hours, overtime, minimum wage, tax allowances etc.

Compliance with state laws and standards is very important for the protection of the organization.

Managerial Functions of Human Resource Management


This is a vital function when it comes to set future goals and creating new policies inside an organization. HR department also plans future vacancies, job requirements and decide the recruitment sources. They also plan and define the standards of possible candidates, to appoint workers and the structure of organization departments.


Controlling is concerned with the completion of organization goals as planned. It is one of the crucial HR responsibilities to plan and direct employees efficiently towards the organization’s goal.


It is concerned with designing organization structure effectively. HR management performs this important function too which is the reason behind the organization’s success. The process of organizing consists of these.

  • Employees, grouped into positions or activities.
  • Creation of departments within an organization.
  • Allocating different functions to different persons.
  • Delegating authority as per the tasks and responsibilities assigned.


This function is preordained to inspire and direct the employees to achieve goals. Human resource managers always keep in touch with the employees.

This is achieved by placing employees according to their skills and intellectual ability in an organization. It is not an easy job for an HR manager, Manager should have good communication skills with employees so he can appoint them according to their abilities & assign duties.

Advisory Functions of HRM

Top Management Advises

HR manager is a specialist in human resource due to this he/she can advise top management in policy making. The manager can also help top management in defining rules and overall environment of the organization.

Departmental Head Advises

As an acting head of the HR department in any organization.  A manager can give advises to the heads of various departments on policies related to job design, job description, recruitment, selection, appraisals, and policy creation

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