Human resource management is essential for overall productivity and efficiency of the strong work force in any flourishing organization.
HR is the most valued department in an organization since they are the guardian of peoples interest and people are the companys important ASSETS.
But now a days every department in an organization is divided into two categories which are known as cost center and business segments [profit center].
A cost center is part of an organization that does not produce direct profit and adds to the cost of running a company.
A business segment is a unit of a company that generates revenue in excess of its expenses. It is expected that, through the sale of goods or services, the unit will turn a profit.
6. GRAND HYATT
MISSION & VISION
TO provide authentic hospitality.
TO make difference in the lives of those they touch everyday.
To do this in an environment that respects all people and all ideas.
To do it in an efficient way that leads to superior results.
7. GRAND HYATT
According to their company policies and from the economic point of view HR is considered as cost center.
A cost center is created when overhead cost are directly allocated to departments, outlets or individual products.
HR does not generate any revenue nor does it have any source to generate one.
HR takes care of resources [people] but the returns from this department cannot be calculated in monetary terms.
Mission & Vision
To enhance associate engagement
To strengthen our business
Discover ways to reduce their HR costs
Process millions of HR customer interactions, freeing them to focus on their core business
From the companys point of view HR is indirectly a business segment.
HR can generate profit by reducing the cost involved in hiring, absenteeism, attrition and by raising the productivity level of people through proper training programmes in order to improve the skills.
Every department, be it production, marketing, finance etc.. incurs cost while performing their functions. Likewise HR also incurs cost while performing HR functions.
10. TURNING COST INTO PROFIT
Recruiting right people at right time.
Proper training and development sessions can helps in enhancing their employability and visibility in the company.
There should be a proper communication between the superior and the subordinates.
Employee retention equals money retention.
Motivation can lead to better work efficiency.
HR is a bridge between cost center and business segment.
Though one cannot calculate its benefits in monetary terms but the department has its huge impact.
Being a cost center and business segment HR is also considered as a resource center.
If finance is heart of the organization, marketing is considered as brain of the organization then HR is definitely the SOUL of the organization.