If you’ve ever wondered what human resources (HR) are and why every organization has an HR department, this article is for you. We will clearly and concisely explain what HR is and why every organization needs an HR department.
Human Resources – Definition and History
Definition of Human Resources
First and foremost, it's essential to understand that human resources are not just a department name within an organization. Whether an organization has an HR department or not, every entity, in both public and private sectors, runs on human resources. From a few employees to thousands, human resources are the workforce of an organization. However, when we refer to an HR department or HR management, we are talking about a department responsible for managing these human resources.
Human Resources Management
So, human resources refer to all the employees of an organization collectively. HR management refers to a department and management responsible for overseeing these human resources. The HR department must have a manager, typically titled HR Manager. Generally, the HR manager should have full authority over employee-related business operations; otherwise, the department cannot be efficient and effective. While this may vary based on company and government policies, the HR manager should ideally have expertise in personnel administration or HR management, such as a bachelor's degree or diploma in HR management or personnel administration. Additionally, the manager should be knowledgeable about the specific operations of the organization. For instance, an HR manager in an IT company should have HR expertise and preferably be well-versed in the company's operations to avoid misinterpretation and erroneous decisions. Similarly, HR department staff should be skilled and knowledgeable in their field.
History of Human Resources
In the early 20th century, the field was known as Personnel Administration. The first company to establish a department named Personnel Administration was NCR Corporation in 1900. Subsequently, other companies followed suit. However, the responsibilities of the department at that time were not as extensive or scientifically backed as they are today. Their primary tasks included hiring, assessment, and basic daily employee operations. By the 1970s, as American companies faced larger challenges like globalization and technological changes, there was a greater emphasis on human resources and HR management. There was a shift in understanding that the HR department should not only carry out the tasks mentioned but also focus on relationships—between employees and the organization, and between employees and customers. Today, the HR department emphasizes training, health, wellness, relationships, assessment, and many other areas. Consequently, universities have established HR departments, personnel administration programs, and various other disciplines and specializations.
Conclusion
We hope this article has been beneficial and provided a quick understanding of the field. In the future, we will delve deeper into the field, highlighting responsibilities and challenges. We welcome any comments or questions you may have. Read more articles on our blog .
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