Table of contents:

2.1 Functions and evolution of human resource management

human resources are the most important resource in an organization → they are the key for creativity, flexibility, and adaptability to meet external challenges

Human resources

employees hired by the business organization to produce goods and services that satisfy customers needs and wants

Relationship between human resource management and employees

the main purpose of human resource management in a business is to make employees satisfied and to keep/retain them → if employees are satisfied, the HR strategies are effective ⇒ by making employees satisfies, customers will also be satisfied

• other functions of the HR department are to hire, train, and lay off workers

Labor turnover rate

measure the HR strategies’ effectiveness at retaining employees → the higher the labor turnover rate, the less effective the HR’s strategies