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5 Important Roles of Human Resource Management

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A company’s Human Resources department is a must-have component. Companies are constantly on the search for capable HR specialists to join their teams. On employment boards like LinkedIn, there are over 12,000 job vacancies for HR specialists. Human Resource is a promising field for anyone interested in working in it. You should understand the primary roles of HRM before deciding to pursue a career in Human Resources.

Planning, directing, managing, and organizing are the main functions of hrm, which encompass all aspects of human resource management in a business. Let’s look at how the HR department’s functions work together to deal with a different area of HR.

Compensation & Benefits

This function of hrm job necessitates constant monitoring of industry pay benchmarks and compliance with industry norms, which include new and variable salary payment parameters, clear pay expectations, and speedier processes.

Individuals are motivated to work mostly by a desire to earn money. Nonetheless, this role is critical for retaining individuals. If you wish to know more about your CTC, you can check out the ctc calculator here.


HR’s second role is to attract people to work for the company and to choose the best candidates. Recruiting people usually starts with a strong employer brand. Being a desirable employer comes with a slew of benefits and vice versa.

Consider a cigarette company that is having difficulty attracting talent due to its tarnished reputation. You’re almost there if you have a strong employer brand and access to sourcing policies. When candidates apply, HR uses the selection process to find the most qualified and most promising prospects.

Performance Management

Performance management is critical for keeping employees productive and engaged. Sound leadership, clear goal-setting, and positive feedback are all part of good performance management.

The (bi)annual performance evaluation, in which the employee’s boss evaluates their performance, is one of the performance management techniques. It also includes 360-degree feedback capabilities, which allow peers, directors, subordinates, and even customers to grade an employee’s performance.

Career Planning

Career planning, guidance, and growth for employees are all important aspects of HRM. Employees can be more engaged and retained if they are shown how their goals can be aligned with the company’s goals.


One of the most important functions of an HR specialist is to ensure that your company complies with labor regulations. The HR management department is aware of these legal considerations and works to safeguard both the employee and the company. Estimating leave, payroll authorization, government and tax reporting, and so on are all part of compliance.


HRM functions do not stop at these stages; they also comprise activities and initiatives that fall under them. An HR department, like the nervous system in the human body, is at the heart of any business. It oversees and controls everything. An organization that has well-defined human resource management functions is well-organized and has a long way to go.

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