Human Resources (HR)

Loading the player...

What is 'Human Resources (HR)'

Human resources (HR) is the company department charged with finding, screening, recruiting and training job applicants, as well as administering employee-benefit programs.

BREAKING DOWN 'Human Resources (HR)'

As companies reorganize to gain competitive edge, human resources plays a key role in helping companies deal with a fast-changing competitive environment and the greater demand for quality employees. Research conducted by The Conference Board has found six key people-related activities that human resources completes to add value to a company:

1. Effectively managing and utilizing people.
2. Trying performance appraisal and compensation to competencies.
3. Developing competencies that enhance individual and organizational performance.
4. Increasing the innovation, creativity and flexibility necessary to enhance competitiveness.
5. Applying new approaches to work process design, succession planning, career development and inter-organizational mobility.
6. Managing the implementation and integration of technology through improved staffing, training and communication with employees.

RELATED TERMS
  1. Human Resource Planning - HRP

    The ongoing process of systematic planning to achieve optimum ...
  2. Associate In Management (AIM)

    A professional designation program that provides managers with ...
  3. Human Capital

    A measure of the economic value of an employee's skill set. This ...
  4. Certified Employee Benefit Specialist

    A professional designation available in both the United States ...
  5. Performance Appraisal

    An annual review of an employee’s overall contributions ...
  6. Employment And Training Administration ...

    A federal agency that operates under the U.S. Department of Labor. ...
Related Articles
  1. Economics

    What Does Human Resources Do?

    Human resources (HR) is the department within a company that handles all matters relating to employment.
  2. Professionals

    Human Resource Planning

    Just as companies must plan ahead to ensure a steady supply of raw materials, machinery and office space, they must also plan ahead to maintain a steady supply of quality employees. Human resource ...
  3. Professionals

    What's Human Capital?

    Human capital is a company asset, but it’s not listed on the balance sheet. Human capital is all of the creative skills and knowledge embodied in the employees of a company -- skills that bring ...
  4. Entrepreneurship

    7 HR Basics for Small Businesses

    Whether or not you are a fan of human resources, every employer needs to know the answers to these questions.
  5. Investing Basics

    Human Capital: The Most Overlooked Asset Class

    The skills and knowledge that allow you to make money are your best asset. Remember to invest in yourself!
  6. Fundamental Analysis

    Ethical Investing: Workers' Rights and Human Rights

    By Amy Fontinelle Another issue that concerns ethical investors is how companies treat people, especially their workers. Many ethical investors base their definition of human rights on the UN ...
  7. Economics

    How Education And Training Affect The Economy

    Economically successful countries hold competitive advantages over other economies in the global marketplace. Education and training are big reasons why.
  8. Financial Advisors

    Why Advisors Should Make Hiring a Priority

    Financial advisory firms neglect their hiring processes. Proper descriptions, selection and onboarding can ensure quality candidates are chosen.
  9. Investing Basics

    Natural Resource Investing

    ETFs and futures are just some of the various investment options available to natural resource investors.
  10. Personal Finance

    Is Automation Destroying Intellectual Jobs?

    As more jobs are automated, intellectual jobs that require the human brain remain, but does artificial intelligence pose a threat to these jobs, too?
RELATED FAQS
  1. What are the main goals of human resources planning?

    Learn about human resource planning, a business strategy that heavily incorporates workforce considerations into long-term ... Read Answer >>
  2. At what stage of business should human resources planning occur?

    See why strategic human resources planning is an ongoing process, and learn how an HR department plays a crucial role in ... Read Answer >>
  3. What's the average salary of a human resources (HR) specialist?

    Discover the national average salary for a human resources (HR) specialist in the as well as for regions throughout the United ... Read Answer >>
  4. What tools do companies use in human resources planning?

    Find out what kinds of tools are used in human resources planning and how companies are attempting to maximize their labor ... Read Answer >>
  5. What is human capital and how is it used?

    Learn about the concept of human capital, how it is developed and why it is important for businesses to protect their human ... Read Answer >>
  6. How do managers measure human capital?

    Learn what human capital is, how managers measure it and how managers measure human capital's return on investment to gauge ... Read Answer >>
Hot Definitions
  1. Return On Invested Capital - ROIC

    A calculation used to assess a company's efficiency at allocating the capital under its control to profitable investments. ...
  2. Law Of Demand

    A microeconomic law that states that, all other factors being equal, as the price of a good or service increases, consumer ...
  3. Cost Of Debt

    The effective rate that a company pays on its current debt. This can be measured in either before- or after-tax returns; ...
  4. Yield Curve

    A line that plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity ...
  5. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
  6. Keynesian Economics

    An economic theory of total spending in the economy and its effects on output and inflation. Keynesian economics was developed ...
Trading Center