Question

Explain in brief the functions of the Human Resources Department in a commercial organisation. 

Answer 1

1. Manpower planning: The number of employees needed is determined based on the company’s sales forecast, growth plans, and labour market trends. Next, the skills necessary for each role are identified through a thorough job analysis. Using this information, job descriptions and job specifications are prepared.
2. Recruitment and selection: Once the required number of employees and their qualifications are identified, the Human Resources Department chooses suitable recruitment sources and invites applications. Recruitment can be internal or external. Internal recruitment involves promotion or transfer of existing employees, while external recruitment is carried out through newspaper ads, employment agencies, campus placements, and employee referrals. After receiving applications, the most suitable candidates are selected through careful evaluation, which may include tests, interviews, reference checks, and medical examinations.
3. Placement and orientation: Employees are assigned to jobs that match their skills. New recruits are familiarized with the organisation and their work environment through induction or orientation, which helps them feel comfortable and focus on their tasks effectively.
4. Training and development: Both new and existing employees receive training to enhance the quality and efficiency of their work. Training is conducted through on-the-job and off-the-job methods. Executives are also trained to develop their managerial skills and potential.
5. Performance appraisal: Employees’ performance and potential for growth are assessed through evaluation. This appraisal helps in making informed decisions regarding transfers, promotions, incentives, training, and other personnel-related actions.