Dear All, Most of the Company does not have the HR department.Where as other functional department having .Why they do not give the importance of HR Functions. MK Verma
From India, Ahmadabad
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9From India, Ahmadabad
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Dear Mr. Verma,
I guess those company owners have a better understanding of HR matters, and they can manage them more effectively. Otherwise, the company's resources will be less, or they may believe they can handle everything and save money. 😊😊
From India, Gurgaon
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I guess those company owners have a better understanding of HR matters, and they can manage them more effectively. Otherwise, the company's resources will be less, or they may believe they can handle everything and save money. 😊😊
From India, Gurgaon
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Hi,
Good question! Owners should know about sensible assets (human). If an asset is lost, the loss will be of the asset alone. However, if the human asset is affected or lost, it will impact everyone.
Thanks and regards,
Madesh M
From India, Namakkal
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Good question! Owners should know about sensible assets (human). If an asset is lost, the loss will be of the asset alone. However, if the human asset is affected or lost, it will impact everyone.
Thanks and regards,
Madesh M
From India, Namakkal
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Dear MK,
Could you share with me how many companies do not have an HR department? I think only small-scale industries do not have a separate HR department, but the Accounting department also looks into HR functions.
The significant issue is why the HR department is not given much importance. In business, profit is crucial, so how can the HR department, being a strategic partner of the business, be the main issue?
Currently, the HR department acts as a data bank or clerical department, or deals with labor contractors or labor departments. How can the HR department overcome this situation and synergize with the business to gain more importance?
Thanks,
Manish
From India, Bangalore
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Could you share with me how many companies do not have an HR department? I think only small-scale industries do not have a separate HR department, but the Accounting department also looks into HR functions.
The significant issue is why the HR department is not given much importance. In business, profit is crucial, so how can the HR department, being a strategic partner of the business, be the main issue?
Currently, the HR department acts as a data bank or clerical department, or deals with labor contractors or labor departments. How can the HR department overcome this situation and synergize with the business to gain more importance?
Thanks,
Manish
From India, Bangalore
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I guess only small companies or those companies which deal in conventional business, but not in knowledge-based business or knowledge essential business, may subscribe to such a view since they may be operating in small or limited markets which everyone shares. There may not be competition, and business comes to them on its own.
Saikumar
HR & Labor Law Advisor
Mumbai
From India, Mumbai
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Saikumar
HR & Labor Law Advisor
Mumbai
From India, Mumbai
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Dear Verma
The statement has no universal application and may be a subjective perception or maybe true of small sized companies..Companies engaging in competitive products and services like telecom and FMCG and operating their business in markets both locally and globally that challenge their survival constantly, need not only to safeguard their market shares and if need be, snatch some from the competitors’. If they remain complacent, someone may move their cheese. It is any body’s knowledge as to how market shares are switching among big players in telecom business.
Then who provides this cutting edge to the companies over others? It is the people. When there are people, there shall be HR. Here it is why.
1) Though the vision and goals of the companies are spelt out by the Board of Directors or the senior leadership of the company, they can be achieved thorough people’s collective and collaborative work.
2) HR has to recruit people with right talent, traits and competencies to realize these goals. For this it uses HR tools like job design, skills design and knowledge profile etc to indentify the right talent and facilitate entry of people with right job fit and culture fit.
3) It provokes business ideas by pooling the best minds in the company through introducing various HR Initiatives like quality circles or employee engagement activities etc.
4) HR keeps itself abreast of changes taking place in business, markets and customer behavior so that it can equip the people with right skills by HR initiatives like training and coaching etc so that the company keeps itself fit to take on sudden challenges .
5) It endeavors to retain and mange talent well by :
a) sustaining their motivation on continuing basis through various HR initiatives like rewards, incentives and promotions;
b)empowering them through delegation of authority and responsibility;
c)developing them in leadership traits by making them participate in decision making process through employee engagement and other HR tools.
6) Thus through it’s talent acquisition, retention and development strategies, it endeavors to save hiring cots, minimize idling costs by reducing the incidence of absenteeism because of the satisfied employees, improve ROI on training, ensure customer satisfaction by better customer service which means drawing more customers to the company, peaceful industrial relations which means uninterrupted production and delivery of goods and services. Thus HR is trying to shed it’s cost centre image and trying to don the profit centre image by directly impacting the operations though aligning it’s HR strategies to the corporate goals.
Thus there is increasing awareness and recognition among progressive companies about this ability of HR to add value to ’their business as a strategic business partner and are going for hunting HR talent.
Given the range of critical functions explained above carried out by HR, it is hard to visualize a company in the thick of break-neck competition can ever venture to do away with HR.
B.Saikumar
HR & Labour Law Advsior
Mumbai
From India, Mumbai
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The statement has no universal application and may be a subjective perception or maybe true of small sized companies..Companies engaging in competitive products and services like telecom and FMCG and operating their business in markets both locally and globally that challenge their survival constantly, need not only to safeguard their market shares and if need be, snatch some from the competitors’. If they remain complacent, someone may move their cheese. It is any body’s knowledge as to how market shares are switching among big players in telecom business.
Then who provides this cutting edge to the companies over others? It is the people. When there are people, there shall be HR. Here it is why.
1) Though the vision and goals of the companies are spelt out by the Board of Directors or the senior leadership of the company, they can be achieved thorough people’s collective and collaborative work.
2) HR has to recruit people with right talent, traits and competencies to realize these goals. For this it uses HR tools like job design, skills design and knowledge profile etc to indentify the right talent and facilitate entry of people with right job fit and culture fit.
3) It provokes business ideas by pooling the best minds in the company through introducing various HR Initiatives like quality circles or employee engagement activities etc.
4) HR keeps itself abreast of changes taking place in business, markets and customer behavior so that it can equip the people with right skills by HR initiatives like training and coaching etc so that the company keeps itself fit to take on sudden challenges .
5) It endeavors to retain and mange talent well by :
a) sustaining their motivation on continuing basis through various HR initiatives like rewards, incentives and promotions;
b)empowering them through delegation of authority and responsibility;
c)developing them in leadership traits by making them participate in decision making process through employee engagement and other HR tools.
6) Thus through it’s talent acquisition, retention and development strategies, it endeavors to save hiring cots, minimize idling costs by reducing the incidence of absenteeism because of the satisfied employees, improve ROI on training, ensure customer satisfaction by better customer service which means drawing more customers to the company, peaceful industrial relations which means uninterrupted production and delivery of goods and services. Thus HR is trying to shed it’s cost centre image and trying to don the profit centre image by directly impacting the operations though aligning it’s HR strategies to the corporate goals.
Thus there is increasing awareness and recognition among progressive companies about this ability of HR to add value to ’their business as a strategic business partner and are going for hunting HR talent.
Given the range of critical functions explained above carried out by HR, it is hard to visualize a company in the thick of break-neck competition can ever venture to do away with HR.
B.Saikumar
HR & Labour Law Advsior
Mumbai
From India, Mumbai
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B’coz, they consider it as non productive department, but, you can check the growth of such company, it’s restricted till some extent.
From India, Nasik
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From India, Nasik
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Dear Mr. Verma,
I would like to thank you for raising the question that most of the offices do not have an HR department. Yes, some offices and organizations do not have such types of departments; their HR functions are carried out by their Accounts department.
There may be many reasons for this:
1. Due to a small budget.
2. The company/organization/firm is small in size.
3. Few employees.
4. Limited knowledge about the HR department.
However, gradually, many organizations are starting to understand the importance of having an HR department.
Meenu
From India, New Delhi
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I would like to thank you for raising the question that most of the offices do not have an HR department. Yes, some offices and organizations do not have such types of departments; their HR functions are carried out by their Accounts department.
There may be many reasons for this:
1. Due to a small budget.
2. The company/organization/firm is small in size.
3. Few employees.
4. Limited knowledge about the HR department.
However, gradually, many organizations are starting to understand the importance of having an HR department.
Meenu
From India, New Delhi
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Majority of the company does not understand how important an HR function is. Accounts and HR departments work closely with each other, but neither department can be a substitute for the other.
But this trend is changing. A practical example would be that in my organization (FMCG), the entire HR activity was outsourced, but gradually the management realized that a dedicated in-house HR department is required.
Regards,
Sheeja Nair
From India, Ahmedabad
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But this trend is changing. A practical example would be that in my organization (FMCG), the entire HR activity was outsourced, but gradually the management realized that a dedicated in-house HR department is required.
Regards,
Sheeja Nair
From India, Ahmedabad
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Follow this link, please, as it provides the framework for HR:
[Is HR Too Important to Be Left to HR? - Armin Trost - Harvard Business Review](http://blogs.hbr.org/cs/2010/11/is_hr_too_important_to_be_left.html)
There is a Sanskrit saying, "Yatha Raja, Thatha Praja," which means "like King, so the People."
No one can underestimate the role a good HR can bring to an organization. However, it can grow and nurture only if it has the support of the CEO, who reports to the Board of Directors. It's here that one has to examine what the Boards do when they meet. Emphasis is mostly laid on Production, Sales, Revenue, etc., as the Board is responsible to its stakeholders, who, in turn, only have their eyes trained on looking at balance sheets, return on investment, dividends, etc. When all these things dominate the way companies are run and perform, people will hardly give credit to HR, as it is a matter of least concern for them.
Exceptions to this are some companies of eminence like Unilever, which have strong HR practices – examples one needs to consider, but one wonders if anyone sees it that way.
One must also read the book "Employees First, Customers Second" by Vineet Nayar, who is the Vice Chairman and Chief Executive Officer of HCL Technologies, an India-based global information technology services company, and author of the book "Employees First, Customers Second: Turning Conventional Management Upside Down" (Harvard Business Press, June 2010). You might follow this link to read the book excerpts: [Book Excerpt: Employees First, Customers Second - Businessweek](http://bloomberg.com) ([Search On Cite](https://www.citehr.com//results.php?q=Book%20Excerpt:%20Employees%20First% 20Customers%20Second%20Businessweek) | [Search On Google](https://www.google.com/search?q=Book%20Excerpt:%20Employees%20First%20Cus tomers%20Second%20Businessweek))
All answers lie in the links provided.
Warm regards,
TSK. Raman
From India, Hyderabad
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[Is HR Too Important to Be Left to HR? - Armin Trost - Harvard Business Review](http://blogs.hbr.org/cs/2010/11/is_hr_too_important_to_be_left.html)
There is a Sanskrit saying, "Yatha Raja, Thatha Praja," which means "like King, so the People."
No one can underestimate the role a good HR can bring to an organization. However, it can grow and nurture only if it has the support of the CEO, who reports to the Board of Directors. It's here that one has to examine what the Boards do when they meet. Emphasis is mostly laid on Production, Sales, Revenue, etc., as the Board is responsible to its stakeholders, who, in turn, only have their eyes trained on looking at balance sheets, return on investment, dividends, etc. When all these things dominate the way companies are run and perform, people will hardly give credit to HR, as it is a matter of least concern for them.
Exceptions to this are some companies of eminence like Unilever, which have strong HR practices – examples one needs to consider, but one wonders if anyone sees it that way.
One must also read the book "Employees First, Customers Second" by Vineet Nayar, who is the Vice Chairman and Chief Executive Officer of HCL Technologies, an India-based global information technology services company, and author of the book "Employees First, Customers Second: Turning Conventional Management Upside Down" (Harvard Business Press, June 2010). You might follow this link to read the book excerpts: [Book Excerpt: Employees First, Customers Second - Businessweek](http://bloomberg.com) ([Search On Cite](https://www.citehr.com//results.php?q=Book%20Excerpt:%20Employees%20First% 20Customers%20Second%20Businessweek) | [Search On Google](https://www.google.com/search?q=Book%20Excerpt:%20Employees%20First%20Cus tomers%20Second%20Businessweek))
All answers lie in the links provided.
Warm regards,
TSK. Raman
From India, Hyderabad
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