Human resource is a major determinant on the success or failure of an organization. Human resource department needs to ensure each position in an organization contributes itself to the overall attainment of the organizational objectives. Right person with the right attribute must be appointed to the right job.

The first step is to have a dynamic system of staffing which takes into consideration the external factors like demography, laws framed by the government, the general economic conditions, and the internal factors like man power planning. In the words of Edwin B. Geisler, manpower planning is the process- including forecasting, developing, implementing, and controlling – by which a firm ensures that it has the right number of people and right kind of people, at the right place, doing things for which they are economically most suitable”.

To forecast the manpower requirement and to analyse the job and project its requirements is by no means an easy task as it is a dynamic process influenced by the market, economic trends, technology, organizational planning and attrition. Slight mistake can have a serious impact on the profitability of the company.

Recruitment and selection process follows manpower planning. Internal methods like promotion, and external methods like recruitment through campus or through external agencies or by deputation fills up a position.

Induction and continuous training the recruits increase their efficiency, morale and human relationships. It identifies the key skills of an individual, thus assisting in career planning and growth, thus laying the foundation for motivation. Employees that are highly employable prove to be highly effective.

The foundation to evaluate the employee on his merit and worth to an organization through appraisal is laid by the human resource department. Performance appraisal done done by subordinates, peers and superiors, by providing data on the managerial, technical and leadership qualities of an individual, lay footing for salary increase, promotion, and training and development. It induces in the employee a positive pressure for better performance, again going on to prove the importance of attention to human resources issues.

It is upto the human resource department to ensure that the appraisal and promotional system is free from distortions in the form of biases and misconceptions. The system of evaluation must be drafted, documented and communicated.

The process if not directed leads to chaos. Directing, rightly described as “the heart of administration” by Marshall Dimock, provides the framework to guide the activities of the organization and individual towards the organizational goal. HR decides the organizational structure to avoid confusions.

Human resource wing determines the remuneration to the employee. Motivating a person, monetarily or psychologically, helps him in self actualization of one’s goals. As per Vroom’s “valence expectancy” theory, motivation is the product of valence (the strength of an individual’s preference to a particular outcome) and expectancy. Recognition is important to make them realize their value in the organization, thus motivating to put better effort.

Employees leave managers, and not organizations. The strength of human resource department lay in retaining manpower, directing and motivating them to the attainment of company strategy. The survival of an organisation stays in the hands of its manpower. Human resource issues, therefore, are to be given immediate response.