Human resources act as liaison between employees and organization

Human resources (HR) are the key to manage employees in an organization. They have shifted from traditionally administrative function to a strategic one that identifies link between talented and engaged people and organizational success. Human resource intends to maximize the return on investment for the company by utilizing its human capital and reducing its financial risk.

The usage of the word human resources, has two related interpretations as labor in political economy and economics. Secondly, it is used within corporations and businesses to the team or individuals that deals with hiring, firing, training, and other personnel issues related to employees. The HR manages these activities in an effective, legal, fair, and consistent manner. The HR ensures that the delegated work is completed effectively and efficiently with and through other people to attain the organization's goal.

The Hr also manages the company's approach towards its employee benefits and compensation, employee records and personnel policies. The HR formulates personnel policies for the employees related to current regulations and company norms, which is documented as employee manual. The HR also does competency mapping for the employees and does a proper performance appraisal for them.

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