human resources

Human resources recognizes that people are assets rather than liabilities in companies. In order to keep these assets optimally productive, human resources is there to make sure a company hires the right employees, fires the wrong ones, develops employees with potential, keeps everyone happy, and ensures that companies and employees are fulfilling their legal obligations to each other.

One can measure the effectiveness of the human resources function through various ratios such as cost per hire, employee turnover rates, training return on investment (ROI), and benefit costs per employee. However, human resources is as much of an art as it is a science because it deals with some of the more emotional aspects of labor management.