Question

Why is human resources considered the most valuable resource of an enterprise?

Answer 1

In recent times, there has been an increasing recognition that the human element is the only living resource essential for achieving organisational goals and implementing policies. Effectively managing this resource is at the heart of successful management. As Peter Drucker noted, only human resources have the potential for growth and development; all other resources are governed by mechanical laws and cannot produce more than what is input into them. In contrast, humans can learn, adapt, and improve. Unlike other resources, people bring their thoughts, emotions, and ambitions to the workplace; they do not leave their identities at the door. Employees, both individually and in groups, carry personal goals and aspirations. Staffing ensures that an organisation has the right number and type of people, placed appropriately, at the right time, performing tasks that provide maximum economic value.