Human resources

Human resources are the people who make up the workforce of an organization, business sector, or economy. 'Human capital' is sometimes used synonymously with 'human resources', although human capital typically refers to a narrower effect (i.e., the knowledge the individuals embody and economic growth). Likewise, other terms sometimes used include manpower, talent, labor, personnel, or simply people. Human resources are the people who make up the workforce of an organization, business sector, or economy. 'Human capital' is sometimes used synonymously with 'human resources', although human capital typically refers to a narrower effect (i.e., the knowledge the individuals embody and economic growth). Likewise, other terms sometimes used include manpower, talent, labor, personnel, or simply people. A human-resources department (HR department) of an organization performs human resource management, overseeing various aspects of employment, such as compliance with labor law and employment standards, administration of employee benefits, and some aspects of recruitment. According to Suresh Oberoi, Senior general manager 'Human resource is like carpentering'. Human resource managers are in charge of many duties pertaining to their job. The duties include planning, recruitment and selection process, posting job ads, evaluating the performance of employees, organizing resumes and job applications, scheduling interviews and assisting in the process and ensuring background checks. Another job is payroll and benefits administration which deals with ensuring vacation and sick time are accounted for, reviewing payroll, and participating in benefits tasks, like claim resolutions, reconciling benefit statements, and approving invoices for payment. HR also coordinates employee relations activities and programs including but not limited to employee counseling. The last job is regular maintenance, this job makes sure that the current HR files and databases are up to date, maintaining employee benefits and employment status and performing payroll/benefit-related reconciliations. In May 2014, the U.S. Department of Labor stated that human resource assistants earn about $38,040 annually and human resource managers earn about $104,440 annually. A human resources manager has several functions in a company Managers need to develop their interpersonal skills to be effective. Organizations behavior focuses on how to improve factors that make organizations more effective. Human resource management used to be referred to as 'personnel administration.' In the 1920s, personnel administration focused mostly on the aspects of hiring, evaluating, training, and compensating employees. However, they did not focus on any employment relationships in an organizational performance level or on the systematic relationships in any parties. This led to a lacked unifying paradigm in the field during this period. According to an HR Magazine article, the first personnel management department started at the National Cash Register Co. in 1900. The owner, John Henry Patterson, after several union strikes and employee lockouts, he organized a personnel department to deal with grievances, discharges and safety, and training for supervisors on new laws and practices after several strikes and employee lockouts. This action was followed by other companies, for example, Ford had high turnover ratios of 380 percent in 1913, but just one year later, the line workers of the company has doubled their daily salaries from $2.50 to $5, even though $2.50 was a fair wage at that time. This example clearly shows the importance of effective management which leads to a greater outcome of employee satisfaction as well as encouraging employees to work together in order to achieve better business objectives. During the 1970s, American business began experiencing challenges due to the substantial increase in competitive pressures. Companies experienced globalization, deregulation, and rapid technological change which caused the major companies to enhance their strategic planning - a process of predicting future changes in a particular environment and focus on ways to promote organizational effectiveness. This resulted in developing more jobs and opportunities for people to show their skills which were directed to effective applying employees toward the fulfillment of individual, group, and organizational goals. Many years later the major/minor of human resource management was created at universities and colleges also known as business administration. It consists of all the activities that companies used to ensure more effective utilization of employees.